Innovators are not taken by the thrill of investing but by the intellectual challenge of it. They are technically sophisticated and like to be at the cutting edge of the investment world.

Question No. 4: How Important To You Is The Confidentiality Of Your Financial Affairs?
Just about nobody is going to say confidentiality is not important. Of course it’s important to pretty much everyone, but only the “anonymous” investors are rabid about this issue. Hence, the question is designed to identify only that one particular high-net-worth personality.

Anonymous investors are fearful and worried about personal security and confidentiality. They need constant assurance that you are protecting the integrity of their information as well as their investments. Ask this question of the other personalities and you won’t get much of a response. Sure, they want their dealings to be confidential, but they are not singularly focused on this issue. But anonymous types will explain how central this concern is to them and how essential it is to any of their advisory relationships.

Confirming High-Net-Worth Personalities: The Trial Balloon
Once you believe you know which profile an affluent investor may possess, consider floating a trial balloon to see if you are on target. That way you can confirm your assessment and proceed accordingly—or, on the other hand, disprove it early and avoid a misdiagnosis.

Creating these trial balloon questions is relatively easy. Take the following examples:

Family stewards: “It seems your family’s well-being is our primary concern. We’re going to create a portfolio that’s focused on your family, that’s going to really take care of them in the long term. Is that your goal?”

Phobics: “I get the feeling you’re not comfortable with investing. Is that true? … That’s OK because I am, and I’m going to do my best to make sure your goals are met so that you don’t have to worry.”

Independents: “It’s really important to you to have the investment resources to make sure you can do what you want. From talking to you, I sense that what you want is the freedom to do whatever you like. Maybe retire at 55, and pursue some hobby or interest. Is that right?”

The Anonymous Client: “You operate similarly to the way I work with my clients. My key concern is that confidential information stays confidential. When we work together, you can rest assured that confidentiality is one of my highest priorities. What do you think?”

Moguls: “I feel that you want to be in ultimate control of everything we do together. My job is to make sure that you have the best advice and information in order to make the big decisions. Is that right?”