Trust Me Im an Advisor

Описание: www.retirementengineer.net

Upon entering your office, which is stylish and elegant, the couple notice and comment on the diplomas and certifications hanging on the wall. You invite them to have a seat in the leather bound chairs across from your large mahogany desk. You have a seat in your executive chair and welcomingly smile at them. The couple glances around the room and the seemingly expensive pieces of artwork on the wall. Mrs. Frugal clutches her purse as you begin your spiel about how long you have been in this business and how much you have under management. Then you ask the question, “So, Mr. and Mrs. Frugal I understand you are getting ready for retirement, what are we working with?” Reluctantly, Mr. Frugal vaguely responds with an indication that they each have pensions, IRAs and social security. After some more prying, you find out the approximate values of the accounts and brilliantly come up with an immediate solution. “Simple,” you exclaim, “I handle cases like this all the time.” You go over your brilliant plan and while it might be the correct financial plan for this couple, they remain reluctant. The in sync couple glances at each other before turning to you and saying, “we’ll think about it.” They have obviously been through show before; they understand they only have one chance at a secure retirement and want to feel comfortable they are making the correct decision for them. They leave your office, never to be heard from again; however, you do hear from the client that introduced you all. She suddenly decides to roll over her accounts to a different advisor.

What is the primary reason clients leave your office never to be heard from again? One might need to ask himself, “Have I built adequate trust with the clients?” It is a commonly known fact that people buy from advisors that they know, like and trust. These elements work congruently with each other and begin the moment the client meets the financial advisor. The smile on the advisor’s face, the clothing he or she wears and the grip of the handshake play a vital role in establishing trust, but one crucial element stands above the rest: active communication.

The story above is a bit over exaggerated, but perhaps not by much. The financial advisor wailed on and on about his accomplishments, however, failed to take an interest in his clients until the subject of money was brought up. He was very much interested in what was in it for him. We, as a society, are re-entering a world where a client-focused approach is absolutely necessary to conduct business, regardless of the field. Financial advisors rely on clients to serve and guide, without them there is no business.

Let’s take a different approach. Prior to the client’s arrival, the financial advisor contacted the client that has referred the couple. During his conversation, he has found out the couple enjoys the flavors of French vanilla coffee and Milano cookies. The advisor has run to the store the night before and ensures that the coffee is brewing as the couple walk through the door. The couple delightedly sip their coffee and nibble on their cookies in the waiting room until the financial advisor arrives to warmly greet them. He treats them as if they are guests in his own home. Guiding the couple back to his office he makes sure the couple had no trouble finding the office and invites the Frugals to have a seat. The three engage in small talk about the weather and other information, as the advisor becomes situated. He turns off his cell phone. The couple now have his full and undivided attention. Over the next hour the advisor asks questions about their where they are from, their careers, family, hobbies, likes and dislikes. The advisor asks questions for more detail and shares stories of similarity. When the time is right (you will feel when the time is right) move the conversation to the true purpose of the visit, but again engage in active listening. Ask questions and then take detailed notes of what the client’s goals are, what assets and liabilities they carry and how they expect to live in retirement. Compliment the clients on the strides they have taken to reach this new chapter of their lives. Ask if they have any questions and listen. When all of their questions are answered to their satisfaction, ask one last question. “Would you like to work to create a retirement plan together?” The clients have worked their entire lives to save money for retirement, why would they hand it over and allow someone to have complete control. People like to be in control, especially when it comes to their money. Providing them the opportunity to build a plan together will transfer some of the power from the advisor into the hands of the client. Set the second appointment.