5 Ways Your Clients Can Help You Increase Your Bottom Line

by | Jul 16, 2019 | Blog

There are always opportunities. If opportunities aren’t what is lacking when it comes to making more money, what is? Financial advisors miss opportunities due to a lack of confidence or effort to move outside their comfort zones. Making a few tweaks here and there can open more doors. If you are looking for more, here are five avenues to pursue.

  1. Ask About Assets Held Away

Many clients feel it’s wise to invest with multiple advisors to minimize risk and diversify their investments. Unfortunately, when an advisor doesn’t have the entire picture of where a client’s assets are being held, there is a greater chance of investment overlap and portfolios being out of alignment with the client’s risk tolerance.

You’ll never know about assets held away if you don’t ask, so ask and keep asking. Assure the client why it’s in their best interest to let you know. Using aggregation tools can also help you gain greater insight into assets held away.

  1. Get to Know the Next Generation

Upwards of $60 trillion is expected to transfer to millennials over the next twenty years.1 Do you know your clients’ adult children and beneficiaries? If not, you are bound to lose assets when your clients pass. One way to connect with the next generation is to be a resource for financial information. Encourage your clients to bring their adult children along to the events that you host. Create opportunities where millennials can learn more about investing, financial planning, and estate planning.

Make sure your website is mobile friendly, and you are active on social media. Integrate valuable resources and tools onto your website for them to use. Learn more about the next generation and make modifications to your practice that make it easier for you to connect with them. If you are still at a loss, diversify your team. Hire a millennial to help you think outside the box and attract the next generation.

  1. Don’t Ignore 401(k) Rollover Opportunities and Plans with Self-Directed Options

If you are serving as the investment advisor for an employer-sponsored retirement plan, there are many opportunities to create long-lasting relationships with plan participants. Spend several days each year on-site conducting educational meetings and be available to help plan participants one-on-one with their asset allocation and other questions. Ask the plan sponsor to be informed about employees who are leaving or retiring, so that you can reach out to them individually.

If you aren’t the advisor for the plan, there is still an opportunity for you to assist plan participants if their plan allows for self-direction. Check with your broker-dealer in advance regarding any restrictions and your options for charging a fee for advice on these assets.

  1. Eliminate Service Dead-Ends

Whenever a client experiences a dead-end, you are at risk of losing their business. Dead-ends appear when clients have financial planning, estate planning, health insurance, and other needs that can’t be satisfied by working with your firm or a strategic partner to your firm. Identify the dead-ends that exist for your clients and work to resolve them by expanding your service offering or connecting with other professionals who can help you help your clients.

  1. Create Opportunities to Get Introduced

Do you know who is like your clients? Your clients’ friends. But how do you get introduced? Some would argue that you must ask for referrals. If you’ve been uncomfortable doing this, planning helps. Identify the opportunities that align with your request and then have a script that helps to plant the seed. For example, if you’ve finished wrapping up a college planning session with a client and they appear relieved and pleased, inform them you are available to help any of their friends who may also be feeling anxious about college planning, as well. Ask them if you can give them some business cards in case the conversation should arise with someone they know in the future.

Those opposed to asking clients for referrals would suggest creating opportunities where you can connect with your client’s inner circle directly. Host a charity golf outing or other social events where your clients would be eager to invite their friends. Face-to-face introductions are the best for creating lasting connections.  When asked what you do, remember it’s your process that distinguishes you from the rest. Promote your process!!!

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