According to Investopedia, an alternative asset is any non-traditional asset with potential economic value, something that would not be found in a standard investment portfolio.

So what is the value of “alternative advice”—something that distinguishes you from your competitors, increases your clients’ loyalty and grows your business?

Alternative advice would be counsel on something besides traditional advice on taxes, money management, estate planning and insurance. In this article, we’ll talk about three things advisors can talk knowledgeably about to set themselves apart: financial organization, identity theft and health.

Financial Organization
This is the way in which you get all of your financial documents and data organized and simplified. What would your life be like if all of your personal data was fully up to date and organized? This means your account numbers, user IDs, passwords and security questions for every bank account, credit card, insurance policy, investment account, reward program, passport, driver’s license, computer, tablet, phone and cell service—virtually everything with a statement and online access. If something happened to you, how easy would it be for your spouse or children to open your computer and find all the docs and access details necessary to keep your life working or transition your financial affairs in a worst-case scenario? Obviously, getting this done even with a power of attorney would be a nightmare.

Where is the password for your computer and the code to open your tablet and mobile phone? Who knows that besides you?

Wouldn’t it be amazing to be this financially organized? If financial professionals aren’t this organized, imagine the state of the general population. Even the most financially successful people who pay tens or hundreds of thousands of dollars per year for financial advice are not very financially organized.

On a scale of 1 to 10, with “1” being a total disaster at financial organization and “10” being perfect, most of the financially successful people I ask say they are at a level “5” or below. In fact, not a single person I’ve asked has said they are higher than “7.”

When asked if they would like to be a “10,” they always enthusiastically say, “yes!” They often tell me that getting financially organized is a project they’ve been meaning to get to for many years. Sadly, their financial planners, wealth managers, accountants and other advisors have never mentioned it or offered to help.

This is the kind of alternative advice and help that elevates your client value and can move the needle on the trust dial in the right direction.

Yes, you can charge for getting clients financially organized. And, yes, you can charge annually to “audit” their financial organization and bring everything current. Recurring revenue is not just for assets under management. In a world where compensation for financial products and investment management continues to decline, perhaps the next generation of financial professionals will be the financial organizers.

Our industry tends to focus an inordinate amount of energy on what can’t be controlled: the market, the economy, politics and world events. Instead of wasting time having a client conversation about Trump’s latest tweet, have the alternative conversation about financial organization.

Cybersecurity
The organization conversation leads very naturally to the one about identify theft. Do you know anyone who has had his or her identity stolen? If you do, then you know what a nightmare it is. What do your clients do with all of those paper and digital statements? Where do they store them? Are they secure? How can you help? How valuable would it be for your client to have the maximum identity theft security?

Do all of your clients have a fireproof safe in their homes? What’s supposed to go in that safe? How do you know if what’s supposed to be in the safe is actually in it? Where is the combination? Where are the backup documents for everything that’s in the safe?

What should be in a safe-deposit box instead of the home safe? What documents can be held only electronically so that the paper can be shredded and the future paper statements discontinued? Where are the paper account statements? All too often, they are in an unlocked filing cabinet or desk drawer that the housekeeper, handyman, babysitter or any other worker has easy access to. What kind of shredder do your clients have and do they use it?
I’ve been in a friend’s home office where a stack of sensitive documents was piled next to the shredder in plain sight.
When I ask when the papers will be shredded, my friend’s “process” is to shred every week or so. In the meantime, that pile is identity theft nirvana.

Are all shredders created equal? Nope. Do you know which ones do the job and which delight identity thieves? Why not just give every client the best shredder with instructions for use? It’s not a gift like a bottle of wine; it’s a deliverable.

If a fire or other disaster is threatening your clients’ home and evacuation is necessary, what physical documents should be taken? That’s a trick question, because the answer is nothing. All any family should have to worry about is themselves, their family members, their pets and whatever personal memorabilia they can carry as they evacuate.
Why? Because the few original physical documents are protected in the safe or safe-deposit box and all digital documents are secure, encrypted and backed up. Even if the clients can’t grab their laptops, they’re covered. Or should be, shouldn’t they?

For more information to help you help your clients, check out www.johnsileo.com.

What would happen to the quality of your client relationships if you had the alternative client conversation about identity theft and provided this service?

Health
Financial advisors often work with clients age 50 and older—since these are usually the people who have all the money and, therefore, the discretionary funds to pay for advice. As we age, we have to work harder to maintain health and fitness. Regular checkups and procedures become more frequent and more hours per week are required to stay fit. Even more hours are needed for clients battling a chronic disease such as MS or diabetes.

Here’s a good question to get this alternative conversation started, “How hard are you fighting to maintain a high degree of physical health and fitness?” The older you get, the more you understand the term “fighting.” Your clients easily engage in and appreciate this conversation.

You can help them by framing the discussion this way: Their time and energy are better invested in maintaining a high level of health and fitness. You can take care of their money so they can focus on taking care of themselves.

There are five basic health topics they will have to focus on:

1. Cardio. This is mostly about heart health. According to the CDC, heart disease is the leading cause of death for men and women. For too many men, the first symptom of heart disease is death.

2. Strength. This concerns your older clients’ muscle mass, which begins declining after age 30 if they don’t have a deliberate program to keep it.

3. Flexibility or limberness. This refers to the range of movement in your clients’ joints and the length of the muscles that cross the joints to induce a bending movement or motion. Who wouldn’t want more of that? Being more flexible doesn’t happen by accident.

4. Balance. It’s not the broken hip that kills people. It’s the hospital stay and the “recovery.” Best to avoid the fall that breaks the hip

in the first place. Read this interesting piece in Wikipedia about balance: https://en.wikipedia.org/wiki/Balance_(ability)

5. Nutrition. This is the science or practice of consuming and utilizing food. You are what you eat it. No truer words ever spoken.

You can also develop a relationship with an executive health program at the best hospital in your town and refer your clients. These programs are typically one- or two-day extensive health exams. They have all the latest, greatest data and resources for improving cardio, strength, flexibility, balance and nutrition. The programs are usually not covered by insurance, but they cost a fraction of what your clients are probably paying you.

For your next client appreciation event, hire a health and fitness expert speaker instead of a money manager or economist. Your turnout will increase, and so will the feedback.

Think about this conversation:

“My financial advisor beat the market.”
“My financial advisor helped me prepare for retirement.”
“Is that all? My financial advisor saved my life.”

Besides referrals and your greater sense of fulfillment, the longer your clients live, the better it is for your business, right?

That’s another reason alternative advice is good for your clients … and good for you.


Bill Bachrach offers the “Quality of Life Enhancer” worksheet that helps an advisor determine clients’ emotional drivers and demonstrate how she can add value. Send an e-mail to [email protected] for more information. To learn more about how Bill and his team can help you be a more direct and candid communicator who helps clients make better decisions, schedule your Business Accelerator Meeting today. 858-558-3200/www.billbachrach.com.Check out The Advisor Roadmap™ Virtual Training Platform.