I recently spoke to a group of almost 500 of these clients and prospects and was deeply impressed at the genuine desire of these advisors to help people's lives move forward and to spare them the pain of poor financial decisions. They advertise these events with the header "Healthy, Wealthy, and Wise." Perfect. Wisdom is in great demand, but in short supply. It is a monumentally opportune time for those firms that can figure out how to communicate this value to their market.
There is so much that consumers don't know and need to know about Social Security, their retirement age (if they can retire), about estate preparation and beneficiary designations, risk management and income creation. The list goes on and on. The most valuable conversation with the consumer today is the informative one that does not surreptitiously lead to a particular product or fund. If you want to compete in the arenas of products, funds and ROI, again I wish you the best of luck, because luck has more to do with it than most of us would like to admit. You will be one more person banging a gong in a cacophony of cymbals.
Position yourself instead in the wisdom market: as a coach, as a guide, as an interpreter and advocate. Help clients sort through the clutter and the noise and assist them in making decisions that will calm their lives rather than add to the consternation and confusion. The conversations you engage clients in daily must reflect this value of acting wisely. Conversations that are centered on what's happening in the markets must take a back seat to conversations about what is happening in each client's specific situation.
Wisdom is an idiosyncratic and personal value that adapts to each person's unique situation. If you want your value proposition to evolve, then the conversation must evolve as well.
Becoming a merchant of wisdom requires rounding out your capabilities. In my next column, I will describe how you can transform yourself into what the marketplace is yearning to find--a wise financial professional.
Mitch Anthony is widely regarded in the financial services industry as an expert on building client relationships and has been recognized for his pioneering work in Financial Life Planning. His innovative tools for strengthening client relationships are available through his Advisor Insights at mitchanthony.com.