sw-everyone-1024x576 (1)

Is Your Client a Stormtrooper, a Wookie, Or an Ewok?

For Financial Advisors on the Dark Side, there is one truth…All Storm Troopers are alike. They all wear white plastic helmets and are lousy shots. However, I am guessing you are a Financial Advisor for the Rebellion. The unfortunate side of working with the Greater Good of the Force is no Wookie, Human or Jaba the Hut are alike. Yoda would tell us “handle the same, all clients I would not”. And, as we learned in the latest episode (no spoilers), even those Storm Troopers can get out of line.

How can you communicate with all of these species with different needs and outlooks on their investing? It is amazing in the movie to see that every race communicates in English, or at least understands it. That DOES NOT happen in real life.

Since the galaxy isn’t a perfect place, not all Rakatas are the same and we do not get to choose just one species to work with; how you connect with a Chiss, as opposed to a Sith, is not an easy task. This is where DNA Behavior becomes invaluable to you. Every Gran & Gungan needs a good retirement plan; especially if you were NOT asked back to be in the next installment. (Yes, we are looking at you Jar Jar Binks.) The ultimate question is, do I need a CP30 unit to communicate with these people? The answer is NO. Just have them take a 12-question Communication DNA Discovery. Easy for you, easy for them.

Matrix

When talking with new Rebel Advisors, I get more questions and apprehension on what this crazy looking matrix is and what it means. How does this matrix help me? Quite simply, this image is one of the easiest keys to read and understand who will be matched up most easily. If a new Jawa (columns) is a Community Builder, but their advisor (rows) is an Initiator, will they be a good fit for each other? With one easy look at this matrix, (no lightsaber or X-wing needed) you can see that they will not have an easy time connecting. But, if there is another advisor in that office who is an Engager & fluent in Javanese, they will likely have an easier time matching their natural behaviors to each other. We know this matrix does not create a bromance like Chewy & Han Solo. It just helps you to understand where your client wants to retire: a swamp on Dagobah with Yoda or a beautiful forest with the Ewoks on Endor.

For more information, please visit http://financialdna.com/reports/ to find out how DNA Behaviors reports can help your teams client engagement strategies.

Know Your Client and let them share in the experience

Know Your Client and Let Them Share in the Experience

The question we are most often asked is will my client want to participate in the Financial DNA Discovery Process? Our Wealth Advisors have had very few clients resist participating. The reality is people do enjoy learning about themselves. It can even help in their business and personal lives. It is liberating for them to know what their strengths are and struggles are from a validated process. The key point is that the client feels understood. Further, people love to talk about themselves. After all, that is their number one topic.

So, why not guide the discovery process and let them talk about themselves. If there is a barrier in an advisors mind about their client participating, it is usually just in their own mind.

The important point in getting the client to participate in the Financial DNA Discovery Process is to ensure it is introduced as a normal part of your service. Taking that further, connect it to your desire to provide them with a customized life-long service experience, set their goals and help them not make emotional decisions in reaction to events and markets.

If a client refuses to take the discovery; does that tell you something about the prospect or client? Having full transparency can enable your firm to grow and prosper. If you have a client that isnt willing to participate that says a lot about their behavior. If they trust you with their money, dont they trust you to know them better? You dont want to increase the risk in your firm, by not having transparency with your clients.

The process can start with Communication DNA Discovery; which only takes 2 -5 minutes and the rest of the steps can be progressively introduced over time.

We have many success stories using the discovery process. Click on this link to read about a recent successful client story.

If you are feeling any resistance yourself, then there is no harm in completing the process to find out and experience for yourself the power of the experience. You will feel liberated and want to ask questions!!

Learn more about Financial DNA Discovery or to start a trial click here.

 

Financial Advice is Becoming a Commodity

Financial Advice is Becoming a Commodity: Get on Board or Get Left Behind

It’s inevitable. Social media is taking over marketing. Further, the “robots” are also storm trooping the industry in how financial advice is provided and how investments are managed.

The reality is that many parts of the financial advice process and investment management are becoming a commodity. As a consequence, many in the financial advisory business could suffer as a consequence of this move away from the traditional view of financial advice.

However, you can take advantage of this shift to increase your practice. The key to success is to differentiate your service model from other financial advisors and the increasing array of online resources and systems. The number one strategy for financial advisors is right under your nose at the initial step of the financial advice process. That is to have a much deeper understanding of your client’s needs and related behavioral finance biases, and to directly involve the client in the discovery process to increase engagement. Inadequate 5 to 20 question assessments that address only risk’ won’t cut it anymore. Neither will guess who the client is. Clients should be given the opportunity to participate in the completion of a comprehensive process which then enables the advisor to comprehensively know their client and their life journey.

As the new landscape for advisors evolves, you don’t have to bemoan it. If you adapt, you can seize this as an opportunity to actually grow your business. Look at the areas of the advisory process that can and should be commoditized. Leverage these technical platforms so that you and your team spend less time on investment management. Educate them, not only on the technology and investments, but more importantly, on how their approach to finances, investments and money can move clients towards achieving their life goals. The key starting point is to holistically identify the client’s financial personality. Then use those insights to help clients manage their behavioral biases to prevent setbacks or missed opportunities and further grow their nest egg to achieve their goals.

It’s time for financial advisors to recognize that clients don’t have to be lost to the new world order of do-it-yourself’ financial planning. Those financial advisors who have long ago invested in building relationships based on knowing their clients, knowing the plans they have for their lives, knowing and being a part of strategizing their financial roadmap to achieve their goals will not lose clients and actually grow their business.

Here are 7 practical tips:

  1. Use an independently developed and robust questionnaire based discovery process with clients at the point of entry and at annual reviews with existing clients. This will give you a clear insight into what they want to do with their finances.
  2. Focus on goals-based life planning and the financial plan to achieve those goals.
  3. Take the mystery out of investing. Proactively build areas in your advisory process where clients can manage their investments for themselves. This will keep them connected with you as their ‘go-to guy.’ Be a source of knowledge for the client.
  4. Build trust. Get to know how much clients understand markets and then educate them around the gaps (this builds trust.) Knowing their communication style and how they want to work with you will build trust quicker.
  5. Focus on the relationship being a two-way partnership.
  6. Match advisor to a client based upon their financial personality and communication style. This is a key differentiator for success.
  7. Help clients to understand their behavior during market movements. Understanding behavioral finance should be bedside reading for every financial advisor.

Time to develop your value position as a financial advisor. Don’t get left behind in the commoditization of the traditional financial advice process. Embrace the exciting Behavioral Finance future.

Try Communication DNA or Financial DNA to see how you can become the Financial Advisor of the future.