Balancing Life Return and Financial Return

The other day, I was having a philosophical discussion with one of our Wealth Mentors about the role of advisors in the life of a client. “Around the traps”, very often wisdom is brought up, or providing peace of mind, and of course, managing the performance of investments and overall financial stewardship.

None of these are incorrect and they are no doubt part of it. In recent times, I have pinpointed helping clients find “BALANCE” as being extremely important. That is balance between life and money. After all, life and financial decisions are completely integrated. Many financial decisions are a reflection of your life and behavior. Key to finding balance is helping the client objectively understand their inherent strengths and struggles based on who they uniquely are, and then their preferences. So, the balance will be different depending on our different behavioral styles.

Everyone has to be accountable, including the financial advisor. So if we take BALANCE as the platform, then how should the advisor be measured by the client. To a large degree, the advisor is responsible for communicating the right message – which comes down to understanding his or her own role. So perhaps the messaging needs to be more of the flavor: “If I help you discover what you want and help you get it – does it matter what financial return you get?” This is not saying financial return is unimportant, just not the only priority.

Further, as a life issue think about the fact that alot of money does not necessarily provide freedom, and too little does not either. Depending on who you are there is a comfortable balance. The role of the advisor is to help you find yours and keep you on that path.

What Are You Passionate About?

In recent weeks, I have had so many conversations with people where passion has come up in various ways. So, I thought it would be good to put some more energy into it by commenting on it in my blog. I even did a very interesting interview with one of our Wealth Mentor’s last week on how he had found his passion and what it has meant to his life over the past few years.

My approach in working with client’s has been to fairly early on in the conversation ask them: What are you passionate about? I have found this to be a very powerful question in finding out where their life is at and where they want to go. This is so important if you are helping someone set their goals and direction. I do not really believe you can do financial planning for a person without knowing their passion because it is so fundamental to their life. Having clarity of your passions regardless of what they are means you can make decisions with confidence and commitment. 

When you think about it, this question is very important regardless of what role you are playing in the person’s life. If you are a business consultant of any sort it is important. Or even if you are just a friend, coach or in some way have an interest in the person’s life the question will really open up a great discussion. 

Discussing passion will really help you get below the surface and connect with the person. You will build a fantastic bond and it is likely the memorability factor will be high. You may even change the person’s life because they will be liberated to reveal something that is core to their life which they had not been fully conscious of. This happened to me, and it set me on the path I am on now. 

So, think about bringing this question into every conversation. It may also bring you closer to your own passions.

What Are You Passionate About?

In recent weeks, I have had so many conversations with people where passion has come up in various ways. So, I thought it would be good to put some more energy into it by commenting on it in my blog. I even did a very interesting interview with one of our Wealth Mentor’s last week on how he had found his passion and what it has meant to his life over the past few years.

My approach in working with client’s has been to fairly early on in the conversation ask them: What are you passionate about? I have found this to be a very powerful question in finding out where their life is at and where they want to go. This is so important if you are helping someone set their goals and direction. I do not really believe you can do financial planning for a person without knowing their passion because it is so fundamental to their life. Having clarity of your passions regardless of what they are means you can make decisions with confidence and commitment.

When you think about it, this question is very important regardless of what role you are playing in the person’s life. If you are a business consultant of any sort it is important. Or even if you are just a friend, coach or in some way have an interest in the person’s life the question will really open up a great discussion.

Discussing passion will really help you get below the surface and connect with the person. You will build a fantastic bond and it is likely the memorability factor will be high. You may even change the person’s life because they will be liberated to reveal something that is core to their life which they had not been fully conscious of. This happened to me, and it set me on the path I am on now.

So, think about bringing this question into every conversation. It may also bring you closer to your own passions.