G’day, it’s David Penglase here.
I’m fairly sure you’d agree with me that the Financial Advice Industry has been built
on TRUST – the relationship between the adviser and the client has always been what’s
most important.
You might think it weird that I have read every page in all three volumes of the Final
report in the Royal Commission … I know … I should get a life, but one of my degrees
is a master degree in professional ethics and what the financial advice industry is
going through right now, has so many touch points around professional ethics, trust,
and integrity … but here’s the thing…
We can’t ignore that there’s been some damage to the perceived trustworthiness of
some elements in and surrounding the financial advice industry.
But I’ve been working with financial advice practices now for almost 30 years helping
them find, win and retain their clients, and here’s what I know - the majority of financial
advisers are professional, competent, and trustworthy… my brother is a financial adviser
and my brother in law is a financial adviser … and for Lizzie and me, we personally value
how the advice, coaching and guidance that we’ve received over many years from our
financial adviser has enabled us to live a good life.
I share that with you to make this point… right now, Australian’s need professional
financial advice… but as a behavioural scientist I’m fascinated by what causes people to
think feel and act the way they do …and what I’m worried about is not so much the
competence of financial advisers, it’s how their mindset is and how the current environment might
impact their choices and decisions around finding and winning new clients while continuing
to retain their existing clients.
One of my other degrees is a Master of Science in Applied Positive Psychology, and I’ve
been sharing evidence-based research with advisers on how to better frame their value
around helping clients live more meaningful, flourishing and prosperous lives.
This means getting clear about their intentions for their clients – what they want FOR their clients
… not what they want from them. It’s getting clear and being able to communicate what they
want their clients to feel, and to experience, and to know and to do. You see, this is the platform for trust.
To do that, right now and well into the foreseeable future, the reality is advisers are going
to need to use a blend of traditional and virtual live-stream and recorded technology
and use it in ways to continue to earn, build and maintain trust with existing clients,
to engage with their referral partners and to build such a ‘brand story’ in ways potential
clients will be able to say – "You know what, yes … that’s the financial adviser that I want to work with."
You know, the successful financial advisers have always tailored their communication strategies in
ways their clients find comfortable – again, nothing really changes here in the future
– there will of course be some clients who will prefer a face to face in person meeting to a zoom
meeting (or whatever other platform) … or maybe it's just a phone call.
But here’s the thing … communicating virtually or remotely via camera, is a new
skill and mindset that advisers are going to need to master and they’re going to need
to get good at it and get comfortable with it sooner rather than later.
And these are all areas I’m currently working with financial advisers to help them build
their own self-trust and to articulate and demonstrate their trustworthiness in and beyond
these disruptive times... so that they can continue to find and win new business while retaining
existing clients.
If this resonates with you, and I hope it does, let’s chat and explore the opportunity.
For now, my very best to you.