All posts tagged Prospecting

  • Partners in Prospecting

    February 1, 2021

    Show Me the Way: A Step-by-Step Process for Delivering an Excellent Virtual Event

    In one of our blog posts from last year, we discussed the steps involved in creating an outstanding in-person event. In many parts of the country, the pandemic has changed the way that we communicate with our clients and almost everyone has had to adapt to the “new normal.” Thankfully, even those who are not digital natives can continue to share their expertise with their clients and use online tools to host informative and engaging virtual events, where clients can participate from the comfort of their own homes.

    This blog post focuses on the steps required to deliver a flawless online experience with seminars for your clients and prospects.

    Pre-Webinar Planning Steps

    • Think about your desired outcome. How many prospects versus existing clients will you invite? How many leads will you convert? What sort of increase to your AUM have you set as your goal?
    • Decide on topics. Remember not just to promote your services. Think as well about topics your clients would want to hear about such as “TFSAs versus RRSPs” and strategies for optimizing their contributions. Make it educational and to the point.
    • Get a guest speaker. You may want to invite a speaker on your selected topic. Sometimes a guest outside of Financial Services (a psychologist discussing coping with COVID-19, for example) will be a big draw. You can give a financial update at the beginning and then introduce the guest to your invitees.
    • Obtain a brief bio of your guest and promote their strengths and what they bring to the table.
    • Prepare presentation materials. Will you or your guest speak with a Power Point presentation, charts or give a live demonstration?
    • Decide on the day and time. From our experience Tuesday or Wednesday evenings work well. Make sure that you give yourself enough time to prepare and your guests are invited well in advance. We recommend sending the invitation (more on webinar invitations below) a week before the event.
    • Decide on the technology. Decide on your webinar platform. Be it Zoom, Webex or Microsoft Teams, be sure to ask your Dealer what they consider compliant. Set up your event so that you have included all the links and dial in information for your guests and guest speakers. If your Marketing or Compliance Department has Co-Operative Forms for you to complete prior to the event, please remember to do so.
    • Make signing in simple and straightforward. You must be sure the sign in details are very explicit.
    • Decide on the registration process. Do you want your guests to register in advance? Do you want them to send you RSVP? Or do you want them just to be able to join when the time comes?
    • Design an invitation. Think about what you would like to have on the invitation: your information (logo, picture, bio, contact details), your guest’s picture or bio, any other visuals, sign in information or registration details (depending on your process). Make it inviting and easy to follow. The benefits to the participant should be highlighted, e.g., “By the end of this webinar, you will have gained, adapted or learned…” Make sure that your agenda is clear and the invite gives an idea of what to expect from the event, e.g. “Prepared remarks will run for approximately 30 minutes followed by Q&A session”. Check with your compliance team regarding your disclaimers and regulatory prescribed information.
    • Create a master list of names and e-mail addresses for both clients and prospects. At this time, you are going to invite your potential participants using e-mail blast software such as Mailchimp, where you can export the e-mail addresses, or just send invitations from your mailbox. Think about your strategy on when to send the invitations and if you are going to send the reminders a few days later. Depending on your registration process and webinar platform, reminders may be sent automatically.
    • Promote your event. You may use your website and social media channels to make more people aware of the upcoming event. Make sure to include all the necessary details.
    • Send the reminders. If the software you are using to host the webinar does not send out reminders to the registrants, then you must do so yourself. We recommend sending a reminder an hour prior to the presentation.

    Test, test, test!

    • Have a dry run. Ensure the technology is working properly. What do you want to appear on your attendees’ screens? All speakers (gallery view) or active speaker only? Are you going to share any materials? If yes, who will be sharing it? Check your camera position. Make sure that the sound and picture work and sit up straight. Check to see if there is anything in the background that will distract from your presentation. If you are using remote desktop applications – you may consider to connect to your video conference software directly, to avoid any video/sound issues.
    • If feasible, have a dry run with the guest speaker to work out any delivery issues.

    Conducting the Seminar

    • Spend a few seconds on housekeeping and encourage your guests to participate. Inform them if they can ask questions and how to do so.
    • Minimize distractions and noises. Make sure that when you (or your guest) are not presenting, the microphone is muted and the video is off.
    • Ensure you set the stage for the event and include:
        1. A Purpose (“The purpose of our presentation today is…”)
        2. A Plan (“I will give a brief update on my 2021 approach and then turn it over to our guest speaker who share her thoughts on…”)
        3. A Pay-Off (“By the end of this presentation you will have learned…”)
    • Engage your audience with a brief story or key interesting statistic, tell them how to ask questions and tell them you have a feedback questionnaire at the end of the event.
    • Have a call to action, (“In the days following this seminar our team will be following up to obtain your feedback…”)

    Post-Seminar follow up

    • Collect feedback questionnaires and ensure each and every one of the participants is contacted via e-mail or phone.
    • Ask questions around what your participants liked and gained from the seminar. In addition, ask for constructive pointers and desired topics for your next event. If applicable, don’t be hesitant to ask for next steps (a 1:1 meeting to discuss product for example).
    • Consider having a replay. This may be useful for those who couldn’t attend or missed the invite.
    • Consider sending follow up materials. This is the time to share some of the materials used during the webinar or send additional information on the topic.

    Now that you have the steps in place to conduct an effective webinar, please remember that as a partner of Caldwell Investment Management Ltd., you have access to our Portfolio Managers (PM’s) who have experience speaking with retail clients. Advisors who have partnered with our PMs for webinars consistently tell us that clients appreciated our PM’s jargon-free approach to investments. Make sure to connect with your compliance department to get a formal approval and proper guidance on the regulatory process for arranging such event. Please reach out to us if you are interested in having one of our staff members to act as your guest speaker. We are ready to assist you through the process and contribute to the success of your virtual event!

    As usual, there is a song in the title of this blog post. What is the song and who is the band who sings it?

    Thank you to Oksana Poyaskova, our Marketing Manager, for lending her insights.

    About Jennifer Kuta

    For more than 25 years, I have worked with Advisors helping them build their businesses. My commitment to you is to partner with you in your practice and offer solutions to help build your business.


    The contents of this blog are the personal views of the author and not necessarily the views of Caldwell Investment Management Ltd. The contents are provided as general in nature and should not be relied upon nor construed to be the rendering of advice. Readers should consult with their own compliance/legal advisors for advice on their specific circumstances before taking any action as sales and prospecting activities are subject to regulatory oversight.

  • Partners in Prospecting

    November 30, 2020

    Connection: Four Simple Steps to Help You Grow Your Client Base Using LinkedIn

    Are you bombarded with messages urging you to use social media for networking and business development? Are you overwhelmed and at a standstill as to how to proceed? In this blog, I’ll be introducing you to four simple steps to get you started with LinkedIn.

    Why LinkedIn? It is the premier business connection network and used by more than 660 million business professionals around the world.

    As always, be sure to check with your Compliance department to ensure you are following your firm’s policies regarding the use of social media and that you have the proper disclaimers.

    The four steps to getting started with LinkedIn are:

    1. Create a brief profile for the front page of your LinkedIn account.
    2. Introduce yourself to prospects using the Note function.
    3. Post articles and comment on what makes them interesting.
    4. Get referrals from your existing client/contacts.

    Creating a profile for the home page of your LinkedIn account.

    You can create a profile on your home page to introduce prospects to your specialties as an Advisor. Do this by writing out your Unique Value Proposition (“UVP”). Have a brain storming session with your team and/or family to figure out what really sets you apart from your competition. Some tips for the brain storming session include:

    • What sort of market are you most drawn to work with?
    • How successful has your marketing effort been to date? What’s working well? What are your strengths and accomplishments? What are your current issues, challenges or barriers?
    • What makes you unique? Why do prospects become your clients and remain your clients?

    Introducing yourself to prospects using the Note function.

    Using LinkedIn to search for potential prospects is a good idea. Perhaps your UVP is targeted to small business owners. Resist the temptation to just push the button to send a LinkedIn invitation to a prospect. Instead use the “Add a Note” function which gives you 300 characters to indicate why the prospect should “Link-In” with you. Be sure to include a couple of benefits or highlight common “pain points” to let these prospects know how your expertise can help. If the prospect sees a benefit in “Linking-In” with you, they will be less likely to ignore your request.

    Post articles and comment on what makes them interesting.

    Most people get overwhelmed because they think they have to write articles on LinkedIn to attract attention. While that may be your ultimate goal, you can get started on LinkedIn without self-authored material. Look for interesting articles a prospect may find helpful and personalize the discussion by adding your own opinion. For example, you may find an article about how important Financial Advisors are in peoples’ lives. You could post this article and ask your network: “On a scale from 1 to 10 how would you rank your current Advisor?” Follow this with another question such as, “What would it take to get them to a 10?” The sooner you engage your network the better.

    Get referrals from your existing client/contacts.

    Look at the LinkedIn clients with whom you are already connected and go through their contact list. Select those contacts to whom you would like to be introduced and ask your client permission to contact them. If they know the type of client that you are looking for (i.e. business owners or executives) your existing clients will likely be more inclined to help. I have helped many Advisors obtain referrals from their existing client base and it was successful because:

    • Once your existing client connections understand the type of clients you are looking for, they can help in identifying who among their contacts can benefit most from your expertise.
    • Once you have permission to use their name to approach these new prospects, the prospects will be more likely to accept your invitations because they trust the existing contact’s recommendation.
    • It also can offer you another touch point with your existing connection/client and in some cases an opportunity to collect a testimonial.

    The techniques I mention are included in the free LinkedIn service. Once you are more comfortable and successful using LinkedIn, there is a paid subscription you may want to explore. Among other features of a subscription to LinkedIn is the opportunity to see the name and contact information of visitors to your LinkedIn profile. Of course, there are other social media options such as Facebook and Twitter. As you speak with existing clients as well as new prospects, get in the habit of asking them which form of social media they are most likely to use.

    As usual, there is a song in the title of this blog post. What is the song and who is the rock group who sings it?

    About Jennifer Kuta

    For more than 25 years, I have worked with Advisors helping them build their businesses. My commitment to you is to partner with you in your practice and offer solutions to help build your business.


    The contents of this blog are the personal views of the author and not necessarily the views of Caldwell Investment Management Ltd. The contents are provided as general in nature and should not be relied upon nor construed to be the rendering of advice. Readers should consult with their own compliance/legal advisors for advice on their specific circumstances before taking any action as sales and prospecting activities are subject to regulatory oversight.

  • Partners in Prospecting

    October 7, 2020

    Help! I Need Somebody: Three Key Traits in an Exceptional Sales Assistant

    The Balance Careers website defines a Registered Broker’s Sales Assistant’s duties as “A broker sales assistant helps financial advisors, traditionally referred to as brokers, with time management by handling routine client inquiries. Most questions are related to account maintenance matters, allowing financial advisors to devote more time to their value-added activity, providing investment advice.”

    If the above definition of a Sales Assistant’s role is all you are looking for, then you may inadvertently be putting limits on what they can do for you and your business.

    I’ve worked with several exceptional Advisors whose top three Practice Management Challenges are:

    • Improving practice profitability,
    • Managing existing clients, and
    • Work/life balance.

    Exceptional Advisors hire support staff with these challenges in mind.

    So how can you ensure you hire the right Sales Assistant to help you? Whether you are hiring a new Sales Assistant or training an existing one – this is a vital question.

    Here are the three most valuable traits to look for when hiring an exceptional Sales Assistant:

    1.    Ability to make outbound calls

    With all of our technology constantly evolving, some say that making outbound phone calls is a dying art, and I totally disagree. There is still no better way to make and keep strong connections than in-person meetings, virtual meetings or phone calls. In addition to seeking out new clients, outbound calls for Sales Assistants could include obtaining testimonials and referrals from existing clients, following up on prospects that have gone cold, or using prospecting scripts for business professional and business owners. Make sure to check with your compliance team if you require pre-approval or any kind of licensing to engage in your prospecting efforts. Whatever the reason for outbound calls, it is important to ensure that your new team member will not shy away from using the phone. The younger generation clearly prefers “texting” to talking so this may not be as easy as you think. However, you may be able to narrow down your list of prospective employees if there is any inclination that they are hesitant using the phone. Ask the applicant directly: “What is your experience and/or comfort level dealing with people you don’t know on the phone?” Or just call them on the phone and see how they respond.

    You may even want to give them homework (if they make your short list) and have them create a script for cold calling business owners. By including your Sales Assistant in key practice profitability tasks, such as outbound prospecting calls, you will have taken steps to expand your outreach considerably.

    2.    Ability to act as a gatekeeper

    Inbound calls are just as important as outbound calls and a skilled gatekeeper plays a key role in screening calls. Exceptional Advisors know that although they’d love to be able to speak with all of their clients regularly, the reality is that they don’t have enough hours in the day. The Sales Assistant steps in by developing deep relationships with existing clients so when these clients have an issue or routine question, they feel comfortable speaking with or e-mailing the Sales Assistant. Managing existing clients effectively takes team work and exceptional Advisors recognize this.

    3.    Tech savvy or marketing background

    As an Advisor, it is important to know the competitive landscape you are competing in and an exceptional Sales Assistant can help you with that navigation. The average business consumer is bombarded by thousands of messages a day. It is crucial to design marketing communication programs, which coordinate all promotional activities in order to provide a clear and consistent message from all mediums (e.g. social media, marketing materials and your website). In order to achieve the various objectives for the year, your Sales Assistant should concentrate on four key areas:

    • A streamlined outbound call process,
    • Enhancing web presence,
    • Integrating social media, and
    • E-mail campaigns through a Contact Management System (“CRM”).

    Needless to say, this is all subject to the compliance rules and company’s policies on the use of social media and may require pre-approval. All your e-mail campaigns should also adhere to CASL and privacy rules.

    These aren’t the only traits you would look for in a Sales Assistant. Enthusiasm, willingness (if not already licensed) to become licensed, and an eye for detail in preparing paper work are a few more to consider. If your Sales Assistant possesses an ability to make outbound calls, is an exceptional gatekeeper and is internet/marketing savvy, then you can concentrate on your own top three challenges – practice profitability, managing your existing clients, and achieving a work/life balance.

    As usual: There is a song title in this blog post. Did you find it?

    About Jennifer Kuta

    For more than 25 years, I have worked with Advisors helping them build their businesses. My commitment to you is to partner with you in your practice and offer solutions to help build your business.


    The contents of this blog are the personal views of the author and not necessarily the views of Caldwell Investment Management Ltd. The contents are provided as general in nature and should not be relied upon nor construed to be the rendering of advice. Readers should consult with their own compliance/legal advisors for advice on their specific circumstances before taking any action as sales and prospecting activities are subject to regulatory oversight.

  • Partners in Prospecting

    August 18, 2020

    How to Create a Meaningful Client Survey – Tell Me Why

    How to Create a Meaningful Client Survey

    I believe in the value and importance in obtaining a pulse on existing clients and communication is paramount in solidifying the relationship. The disruption created from these extraordinary times with COVID-19, makes it an opportune time to check in with your clients with a phone call and/or a survey. Surveys can be quick, easy and will allow your clients to provide valuable feedback without feeling pressured.

    Unique Value Proposition (“UVP”)

    One type of survey that is particularly helpful to Investment Advisors is the Unique Value Proposition (“UVP”) opinion survey because it asks clients specific questions on their perceived value from the relationship.

    • Think back as to why you became our client. What were your deciding reasons?
    • Why have you stayed with me and my team?
    • How likely are you to recommend us to a friend or family member?

    Select a few key points that are part of your UVP and ask your clients to rank how important these aspects are. Truly customize your UVP to answer the questions you need answered to help you continue to add value. Perhaps most of your clients came to you because of your investment knowledge and experienced investing. You could then ask them to rank your questions on a scale from 1 to 10. But it is definitely to your benefit to encourage them to expand on why they became your client and stayed with you. You will want to make certain that you include “free form” fields to allow your clients to explain, comment and express themselves. This is why I suggest you personally contact the top 25% – 50% of your clients’ and ask for their response. It’s an excellent opportunity to remind them of your importance as their Investment Advisor.

    Many people, especially these days, are feeling stressed, anxious and uncertain and I believe this is an excellent way to solidify your relationship. With the clients that you do not call personally, you can leverage a survey using a simple online tool that is broadly familiar to many: Survey Monkey. It is user-friendly, inexpensive and generally well known.

    Net Promoter Score (“NPS”)

    After you ask your clients the two key questions gleaning insight as to why they came to you to manage their investments and why they stayed with you, add this specific client feedback question to help you obtain the Net Promoter Score (“NPS”): “How likely are you to recommend us to a friend or family member?”

    You can calculate your overall NPS by subtracting the percent of “detractors” – those who responded with a number between zero and six – from the percent of “promoters” – those who responded with a nine or a ten. Since these numbers are calculated as percentages, the total NPS score can be anywhere between minus 100 and 100, regardless of the number of customers surveyed. NPS has been shown to correlate with other business metrics, like customer retention and revenue, so it’s a good indicator of how your business is doing overall.

    After you ask your NPS question: “How likely are you to recommend us to a friend or family member?”, you should then ask a simple, open-ended follow up question: “Tell us a bit more about why you chose this number.” This way, clients can state the things they particularly liked or disliked. This gathers essential information without overwhelming the client with questions.

    This client feedback survey example has several advantages:

    • Provides meaningful data,
    • Allows you to gather many responses quickly,
    • Provides data for comparing overall performance year over year,
    • Provides a good indicator of overall company performance.

    Now that you have the survey data

    It is a good idea to conduct the occasional survey as a “check-in” and report card as to how you are rated in service. In addition, if you haven’t already thought of or written your team UVP – you will have ready comments as to why clients have come to you and stayed.

    Another use for the survey is the referral aspect. If you have a high NPS – you can go back to those individuals and ask them for a referral or testimonial. As you can see – there are many uses for the Client Survey to keep both you and your clients on track.

    Can you tell me who first had a hit with the song “Tell Me Why”? Score some bonus points for yourself if you can name the Canadian who recorded a different song with the same title a few years later.

    While we’ve got your attention, please take a look at our fund line up at https://caldwellinvestment.com/investment-solutions.

    About Jennifer Kuta

    For more than 25 years, I have worked with Advisors helping them build their businesses. My commitment to you is to partner with you in your practice and offer solutions to help build your business.


    The contents of this blog are the personal views of the author and not necessarily the views of Caldwell Investment Management Ltd. The contents are provided as general in nature and should not be relied upon nor construed to be the rendering of advice. Readers should consult with their own compliance/legal advisors for advice on their specific circumstances before taking any action as sales and prospecting activities are subject to regulatory oversight.

  • Partners in Prospecting

    June 25, 2020

    Intergenerational Wealth Transfer Part II : The Kids Are Alright

    Intergenerational Wealth Transfer

    In our last blog post We Are Family, we discussed three specific ways Advisors could get to know their clients’ children. After publishing that post, we had some requests to expand this topic to include the key documents clients need to obtain for estate purposes. When it comes to Estate Planning, most Advisors say that their clients’ most common concern is ensuring their families are taken care of upon their death.

    As an Advisor, you don’t have to be an estate planning expert, but as a holistic Advisor, you can help your clients assess whether an estate plan crafted by an attorney lines up with their financial goals.

    Having the Estate Planning Conversation

    Take the opportunity, when you have your client on the phone or are conducting their review, to broach the topic by stating, “Based on your financial plan, it is possible that you’ll have substantial assets when you pass away. What would you like to see happen with this money and property? Do you have concerns?” As people generally love to talk about their families, this could be an opportune time to clarify and address their fears.

    From there, you can delve deeper, asking questions such as, “Have you thought about the legacy you will leave your children, grandchildren, or community? What values and beliefs have you developed during your life that you’d like your family to embrace when you’re gone?” Keep in mind that this could be the first time the client has approached estate planning as something other than the tax-efficient transfer of money and property. They may appreciate your effort to refocus the conversation on guiding and inspiring the next generation to use their inherited wealth wisely.

    At this critical time in your conversation you can find out if your client has a lawyer. Your clients’ lives may be too complicated (divorce, blended families, etc.) for purchasing an “out of the box” last will and testament. Preparing a will requires a lawyer and if the client doesn’t have one, you should consider having a few lawyers with whom you’ve developed relationships and feel comfortable recommending.

    A good place to begin is Revenue Canada’s Estate Planning Checklist. This jargon free document is an excellent way to introduce estate planning concepts to your client.

    Now let’s move onto the most important documents required when estate planning. It is by no means an exhaustive list, nor is this comprehensive advice. Financial Advisors should work closely with the client’s counsel to ensure appropriate legal protections are afforded to clients based on all of their wishes: financial and otherwise. However, simple or complex your client’s plan is, it is likely that these three items below will form the basis of the plan.

    1. Last Will and Testament

    The last Will and Testament is the keystone of any estate plan. Properly executed, it allows for the orderly distribution of the deceased’s assets. This entails appointing an executor. Choosing an executor is an important decision, as he or she will manage any challenges against the will through the provincial probate process and will ensure probate fees are covered. (Note: Not all property is subject to probate. Where the property has a designated beneficiary built-in, such as life insurance death benefits and RRSPs, they are not subject to probate). In many circumstances, particularly those involving multiple properties or the ownership of a business, it may be a good idea for your client to tell the concerned parties of his or her plans. If one heir is more suited by temperament and inclination to assume control of the business, for example, your client may wish to consider “estate equalization’ and allocate investment proceeds or life insurance benefits accordingly.

    Without a valid will, you are considered to have died intestate. When that happens in Canada, the province you lived in decides how your assets are distributed, without regard to your wishes. Following the laws of intestacy, the province typically distributes the first $50,000 of value to a surviving spouse, then divides up the rest between the spouse and children. If you don’t have a surviving spouse or children, your parents are next in line to receive your assets, followed by any brothers and sisters.

    Dying without a will also leads to delays and extra expenses. The court appoints a bonded administrator to serve as an executor of the estate. In addition, any assets distributed to children under age 19 must be passed along to a bonded guardian or to the Public Trustee. The process of appointing these administrators is both expensive and time-consuming. It may also create situations where assets are disposed of without any planning for tax considerations.

    2. Power of Attorney for Personal Care (“POAPC”)

    Your clients will need a Living Will to ensure that their medical wishes are honoured. This legal document sets out how your client should be cared for in an emergency or if otherwise incapacitated. Their POAPC sets forth their wishes on topics such as resuscitation, assisted suicide requests, desired quality of life and end of life treatments including treatments they don’t want to receive. My husband and I have a Living Will and we tried to be as specific as possible in this document, realizing that we can’t account for every possibility, and this is why the next document you should have your client create is the Continuing Power of Attorney for Property.

    3. Continuing Power of Attorney for Property (“CPOA”)

    The CPOA is not to be confused with a “non-co Power of Attorney” or the Power of Attorney for Personal Care. The Continuing Power of Attorney for Property gives the person of your client’s choice the power to manage their financial affairs if they become incapable of managing them themselves. It gives this person, designated as their agent or attorney-in-fact, the power to handle such day-to-day tasks as:

    • Paying bills
    • Filing tax returns
    • Opening mail
    • Banking
    • Talking with accountants, lawyers and you as the Financial Advisor
    • Looking after pets
    • Voting on their behalf

    Without a power of attorney, their spouse has no legal authority to perform a variety of important tasks for them if they become incapacitated.

    Please note that a POAPC is not required for property that is jointly owned, i.e. Joint Tenancy with Right of Survivorship (“JTWROS”). Assets held in a single name however, will require a CPOA for any transactions to be executed during a period of the owners’ incapacitation.

    No one looks forward to Estate Planning and the issues that it addresses. However, a comprehensive, up to date plan will go a long way to assist bereaved families and business associates in a difficult and confusing time. You, as the Financial Advisor, can lessen the load by providing support, suggestions and other professional partners to help. Be sure to speak to a lawyer and/or accountant in your jurisdiction to learn more about these critical documents.

    As usual: There is a song title in this blog post. Did you find it?

    About Jennifer Kuta

    For more than 25 years, I have worked with Advisors helping them build their businesses. My commitment to you is to partner with you in your practice and offer solutions to help build your business.


    The contents of this blog are the personal views of the author and not necessarily the views of Caldwell Investment Management Ltd. The contents are provided as general in nature and should not be relied upon nor construed to be the rendering of advice. Readers should consult with their own compliance/legal advisors for advice on their specific circumstances before taking any action as sales and prospecting activities are subject to regulatory oversight.

  • Partners in Prospecting

    April 23, 2020

    Intergenerational Wealth Transfer: We are Family

    Intergenerational Wealth Transfer

    The next decade we will see a massive intergenerational transfer of wealth estimated to be $1 trillion, the largest in Canadian history*. Yet, there’s no guarantee that the tech-savvy heirs to this windfall will turn to their parents’ Advisors for financial advice and planning. What are you doing to plan for this transfer? Have you approached your clients about meeting their children?

    I worked with an Advisor whose largest elderly client died suddenly in a car accident. He was predeceased by his spouse and they had five children. The Advisor knew the names of the children and also that they were all adults. However, he had never met any of the children. He subsequently called them to give his condolences and they started to ask questions about their father’s accounts, what they needed for probate and how to transfer the accounts out. The Advisor tried to convince the eldest child that he had done well for his father and he would like to meet in person. You can imagine what happened next. Since the Advisor never developed a relationship with any of the children, they had no allegiance to him and he lost all the of accounts that had been with him for years – an unfortunate lesson to learn the hard way. This is why it is key to put a focus on your clients’ children before it is too late.

    Top Three Strategies to Manage Intergenerational Wealth Transfers

    Below are the strategies employed by Advisors that I personally know, who have been most successful in managing intergenerational wealth transfers.

    1. Provide an educational seminar or web series focusing on financial literacy for the children.

    As you know, there is talk about introducing these types of courses in high schools but it has not been implemented as of yet.

    Topics may include:

    • What would children do with a substantial sum of money, left to them by their parents?
    • What decisions would they make about their investments?
    • What would they do to demonstrate long-term asset protection strategies?

    Imagine a training opportunity where you work with your clients’ children for a length of time to address those questions, sharing the results with the parents at the end of the period. This would not only provide a solid experience for you and the next generation, but it would also allow for the formation of a relationship with those poised to inherit wealth.

    2. Invite your clients’ adult children to a dinner with the parents.

    One Advisor told me that he calls his clients and indicates that he wants to be introduced to the adult children so that when the time comes they will feel comfortable coming to them with questions about the estate. The Advisor said, it helps to get to know client’s children by sharing a meal. It doesn’t have to be expensive and not necessarily targeting only your high net worth clients.

    3. Hire for the next generation.

    Managing a next generation of clients requires a next generation of Advisors. Every week, we hear about next-gen children preferring the on-line discount broker approach to investing. There is a need for next-gen Advisors—and for a good reason. Next-gen clients will want to work with someone who will be flexible and truly listen to their ideas. Often when they look at Boomer aged Advisors, they may not see past the gray hair. Many firms are positioning themselves to capture the trillions of dollars of wealth that will transition between generations over the next 20 years by hiring multiple generations of Advisors or support staff to work with multiple generations of wealthy families. Everyone is searching for young, talented Advisors who have the luxury of being in demand.

    The key to any approach is to ensure your current clients understand your desire to meet with their children to bring them into the loop (provided your clients are onside with this approach because you have explained the importance to them). Adopting one or more of the above approaches can help you to retain assets, deepen your relationship with your existing clients and, perhaps, even gain some referrals from their children.

    *Investor Economics Insight, January 2019. Strategic Insight.

    As usual: There is a song title in this blog post. Did you find it?

    About Jennifer Kuta

    For more than 25 years, I have worked with Advisors helping them build their businesses. My commitment to you is to partner with you in your practice and offer solutions to help build your business.


    The contents of this blog are the personal views of the author and not necessarily the views of Caldwell Investment Management Ltd. The contents are provided as general in nature and should not be relied upon nor construed to be the rendering of advice. Readers should consult with their own compliance/legal advisors for advice on their specific circumstances before taking any action as sales and prospecting activities are subject to regulatory oversight.

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