People crave control. Uncertainty usually increases the cravings. One thing clients control is what news they ingest and what they do after it is consumed. If listening to a candidate makes them nauseous, logic dictates they should listen to something else. Easier said than done. If your client can tune out the noise, that’s great but most people struggle with that.
I sometimes ask clients to look at things from a different angle. Instead of tuning out, have them try tuning in but in a focused way that helps. Such as? Well, if they are going to watch the news, have them look for things the media does to get the viewers hooked or things campaigns do to rile up supporters.
Have them watch for things like a tease before commercial breaks. Talk to them about fund-raising tactics. Most importantly, have them note how the reporting affects their mood. Often they become less susceptible to getting riled up, see the media’s breathless coverage as less informative and more noise making, and the rhetoric can become less scary.
If people can proactively identify the attempts to stir their emotions, they may be more likely to keep their emotions in check.
In cases where the emotions have already been stoked, I have had success providing a sense of empowerment and control by revisiting the financial planning process. Clients can’t control whom others vote for, but they can control how much they save and spend, how long they plan to work, the amount of their intended bequests and whether they will be speculators or investors. They, not politicians, choose the goals and priorities for their family.
These are big picture issues that endure long past anyone’s four or eight-year terms. By following the initial planning with a “What if?” discussion, we can lay out a plan of what we will do should the market experience a big drop or rise. Knowing what they will do ahead of time can make the event less traumatic and increases the odds they will follow through.
Our firm’s trademarked motto is “A sanctuary from the noise,” and we take providing that sanctuary very seriously. Without the intensity the noise generates, clients would not bet their life goals on political opinions, but fear can cause people to do short-sighted things. With your help, they won’t make such bad decisions because of “Decision 2016.” (Cue logo and stirring, timpani-heavy theme music.)
Dan Moisand, CFP has been featured as one of America’s top independent financial advisors by Financial Planning, Financial Advisor, Investment Advisor, Investment News, Journal of Financial Planning, Accounting Today, Research, Wealth Manager, and Worth magazines. He practices in Melbourne, Fla. You can reach him at [email protected].