Most financial advisors feel confident that they know what their clients want; many would suggest that strong investment performance heads the list.
But for many clients, investment performance is a given, assumed to be part of the package that comes with hiring you. So what do they really want?
High net worth (HNW) clients have financial concerns that go well beyond investment performance. For example, many of these clients have significant concerns about losing their wealth. This can be a particular concern for clients with inherited wealth, who understand that they do not have the capacity to earn back losses.
Another concern is making sure that their heirs will be secure. Addressing this concern requires planning that goes beyond investment advice and likely includes contributions from other professionals, for example estate planning attorneys and insurance professionals.
Other concerns likely to materialize during a heart-to-heart talk include worries about adequate medical coverage, fears of lawsuits and litigation, and issues regarding retirement income. Many advisors assume that tax minimization will surface as a top concern, but that’s not always the case. Clients simply assume that tax minimization strategies, like investment performance, are a given. Finally, planning for charitable donations and helping family members, are also typically on the list of concerns.
Providing sound investment and tax advice is only the tip of the iceberg for most clients. Take the time to schedule conversations that keep these other factors in mind, and you can deliver solutions that will keep your HNW clients loyal and satisfied.
For more information, please read:
The Five Things That Really Matter to HNW Clients | WealthManagement.com