A trusted financial advisor is a financial advisor that really puts the client’s needs first and then has the industry knowledge to be able satisfy those needs with a variety of different instruments, as appropriate. This person is an advisor that focuses on needs-based or goals-based financial planning first and then has the industry knowledge to back into the appropriate products needed to execute the plan. A trusted financial advisor is also a great behavioral coach. The main factor in becoming a great behavioral coach is establishing trust. A trusted advisor establishes this trust by getting to know the client, setting expectations, and educating the client on why you have set those expectations. What good is all of the knowledge and financial planning expertise in the world without being able to instill in your client the discipline needed to follow a well laid out plan?
When you dig deeper than just understanding your client’s explicit and obvious needs, you demonstrate a genuine interest in their well-being. This genuine interest in your client’s well-being is the first step in building trust. When you set expectations it allows you the opportunity to meet those expectations and in doing so you create dependability. When you educate clients on the expectations you have set, it allows you the opportunity to build credibility in that there is a well thought out plan in place and reasons for the expectations you have set.
Creating the plan and choosing the right instruments to execute the plan is just a small piece of the trusted advisor’s success. The much larger piece is building credibility, dependability and demonstrating you are truly on their side and have a genuine concern for their well-being. If your client feels you really care – that they can depend on you and that you are credible – they are much more likely to stay the course through times and allow you to help them make better decisions upfront than problem solve after bad decisions have been made.
Contact Micah Hesting for more information:
Advisor Relationships/Business Development Strategist