The advisory profession faces a critical juncture. Advisors must adapt to changing client expectations and deliver on the full promise of financial advice or become irrelevant.
I will explore practical strategies for advisors to focus on fostering deeper client relationships and leveraging new metrics for a more comprehensive understanding of their practice's impact and valuation.
With such high reported rates of client satisfaction and loyalty, why do only a few advisors experience the benefits of client-driven referrals? In part, it’s because the profession relies on the wrong metrics.
According to a recent J.D. Power study, fewer than 15% of clients say their advisor provides an ideal advice experience; and yet many advisors likely suffer from Dunning Kruger cognitive bias, where they think they are among that 15% when for the majority, that’s impossible.
Why is financial advice in such a state? Because, despite their best efforts, financial advisors aren’t hitting the core attributes of comprehensive advice.
To solve this, Practice Intel, a new firm led by Dr. Preston Cherry, Tom Rieman, Larry Shumbres, and Nick Gudz, among others, has launched. Combining practice-level insights with innovative e-learning resources and a proprietary index that benchmarks a firm’s valuation against its peers, Practice Intel helps advisors enhance their advice experience while achieving more organic growth and, ultimately, increasing their valuation.