When discussing financial planning issues, there is so much talk about investor behavior. However, rarely does the discussion get to the advisor’s behavior. Have you ever considered how much the advisor’s behavior impacts the investors performance?
Naturally expressive and talkative people will be “Outgoing People Connectors” who are able to network with people well but may make uneducated bets from following the herd that sabotage their portfolio.
Naturally big-picture thinkers and decisive people will be Initiators who are “Take-Charge Visionaries”. They know where they are going and will have a consolidated view of their investment portfolio.
What is the most common mistake that Advisors make? Hugh Massie discusses what he believes is the most common mistake of Advisors – and how this mistake can lead to loss of time, energy, strained relationships and even litigation.
An article by James Fennessy in the Australian Banking and Finance magazine on March 10, 2011 highlights a key challenge for financial advisors. That is delivering value to their clients and getting paid for it. How do advisors demonstrate the trust in their advice to get paid for it? The article points out that the [...]
Naturally guarded and wary people will be “Skeptical Questioners” who seek to remain in control of their portfolio but do not easily delegate to advisors.
A naturally instinctive and flexible person with a clear vision will be a “Spontaneous Intuitive” who is confident with the financial decisions they make but can be impulsive.
A naturally logical and challenging person will be a “Fast Paced Realist” who is able to make very rational decisions without getting stuck but may be too impatient for returns.
The difference between what the advisor said and what the client heard will be attributable to the behavioral lens of each. The communication of products and solutions must be adapted.
Natural DNA Behavior predicts how people will respond to life and financial events, and therefore will drive many of their decisions, particularly when under pressure. However, at times their decision may be shaped by a significant life experience, circumstances or education.