P Is For Aligning Products To Meet Each Client’s Unique Goals, Circumstances And Preferences

What takes longer? An hour spent waiting in the doctor’s office, or an hour in the company of friends, doing an activity you really enjoy? We all know that time is relative. One minute to complete an examination seems a lot shorter than a minute left on the clock in a tightly fought basketball game.

But while time may be relative, it’s also precious and these days, it seems limited. All of us have growing demands on our time: We are all trying to squeeze in work commitments, family time, recreational activities, fitness, shopping and other duties into too-short days.

As financial advisors focus more on providing holistic wealth management services to their clients, time has become yet one more thing for you to manage. Selecting core investments for a group of investors with a similar amount of assets is one thing. Conducting a discovery process with each client to identify their individual goals, preferences and circumstances, then determining the ideal mix of investments to help them achieve those goals, is another. The latter takes much more time, but it also has greater value.

Our annual Value of Advisor study looks closely at the various services that advisors provide and consistently finds that those services are far more valuable than the average fee charged. In earlier blogs, we discussed the value of actively rebalancing a portfolio, of managing investors’ behavior to keep them invested through challenging markets and of providing a customized experience for clients.

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VOA attributues

While our long-standing formula remains the same – A+B+C+P+T – we have changed the value of P from the cost of producing an investment plan to focus on the value that advisors can potentially provide by aligning the investment products they choose to the client’s individual goals, preferences and circumstances. By doing so, we are recognizing that providing the C of our formula (a customized client experience) leads to the P of our formula (products aligned to the client’s goals). That’s how holistic wealth management works: Everything is interconnected with the ultimate aim of helping each client feel financially secure through each stage of their lives.