Even when your clients have significant retirement resources, it is important to create a comprehensive plan specifically for them. If you do not do your best to help each unique client, you risk your client's future as well as your own.
Every client has different goals and resources as they prepare for retirement. There are five important details to consider when working with clients. These are not the only necessary details required for helping clients plan for retirement, but they should not be overlooked.
A basic principle of investing is that you should gradually reduce your exposure to risk as you get older. Generally speaking, a younger investor has a longer time horizon and therefore can absorb more short-term investment risk. An older investor has a shorter time horizon and therefore doesn’t have as much time to absorb short-term investment risk.
Case design and illustration requests are common daily events that Independent Marketing Organizations (IMOs) handle for advisors they work with. Many of the advisors we work with do a great job of fact finding during the first meeting with a client. Getting the facts and details up-front are extremely important for putting together a good, strong recommendation that can be presented during your next meeting.
As I work with advisors on a daily basis, I’m hearing one question that stands out the most: “Can you help me get in front of more qualified prospects?” There are many ways to put yourself in the same room as higher-net worth and better fit prospects. Your tools can include seminars, direct mail campaigns, fundraisers, and referrals.
Are you a financial services supplier or an architect? Your clients may be viewing you as one or the other. When it comes to building homes (or financial plans) the raw material supplier and the architect both play a significant role in the construction of a home. Neither is necessarily bad or good, better or worse. They have very different roles to play, and they have very different perspectives.
Every home needs a solid foundation. The same holds true for financial plans. When it comes to constructing a new home, one of the first crews on sight is the excavation team. They dig and lay the foundation. The foundation determines the long-term stability of the home to be built on top of it.
Many advisors and agents ask their Insurance Marketing Organization (IMO) “What's your favorite product?” I've always been perplexed by this question. What's your favorite product? Really? It's as if financial advisors and insurance agents have been conditioned to ask that question, which would lead me to believe that most IMOs are pitching products and not asking questions.
When you work with a prospect and guide them towards making a financial decision and take action, you assume a leadership role. For many financial advisors, you make a commitment to lead them to and through retirement. However, many financial professionals have failed to have a scheduled maintenance process in place to review their clients’ plans and adapt them to life and lifestyle changes.
I have talked to many advisors in my career and I have lost count how many times I have heard “I only sell annuities” or "I only sell life insurance”. There are several things wrong with this picture. Agents that think like this are not fully helping their clients. They are leaving cracks in their financial plans and as an advisor they are leaving dollars on the table.
FOR PRODUCER USE ONLY. NOT FOR USE WITH CLIENTS.
This content is for informational and educational purposes only and is not designed, or intended, to be applicable to any person's individual circumstances. It should not be considered as investment advice, nor does it constitute a recommendation that anyone engage in (or refrain from) a particular course of action.