Source/Contribution by : NJ Publications
“People will forget what you said, people will forget what you did, but people will never forget how you made them feel”
The job of a financial advisor is remunerative and thrilling, but highly challenging at the same time.
He is expected to be a repository of knowledge and abilities. We have been hearing the clichéd advisory skills and stress on polishing the advisor's skills in terms of acquisition of knowledge and certifications; brushing his portfolio management skills, accounting skills, business administration, tax planning, technology management, etc. However, while carrying out his roles, the most important skill required by an advisor is often overlooked, and i.e. interpersonal skills.
The advisor's business is service oriented, you have to deal with human beings. And in our business, building and maintaining relationships is equally important as generating sales. A financial advisor is like a slab of marble, the surface has to be glazed to bring out the sheen of the piece. Similarly, the interpersonal skills of the advisor should be polished to unearth his hidden civil skills.
Following are the few elements of interpersonal skills which should be smoothened to blow the lid off the financial advisor:
Listening: This is the most important skill required in a financial advisor. You have to be patient to what the client is saying, even if most of it is immaterial. You'll find the vital stuff within that conversation. “An advisor has to hear what isn't being said”. As an advisor, you have to interpret the expressions of the client, you have to figure out his needs and goals, even if he doesn't clearly mentions them to you. Because the effectiveness of his financial plan depends on all his material personal and financial factors, and they can't be omitted, so you have to listen carefully and not just hear what he says.
Communication: The effectiveness of your advice will depend on how effectively you communicate the same. Your speech must be assertive, so that the listener takes you seriously. You may enhance your content by narrating success stories of your clients. The client may not easily comprehend numbers or financial jargons at times, so your style of communication must be simple and easy to understand. On the whole, in order to create an impact of your words, it is vital to adapt an elementary yet powerful style of communication.
Sensitivity: An advisor should be sensitive towards his client needs and not his financial targets. Client's needs and goals must be on top of the priority list. You must speak in terms of his needs and seem sincerely interested in him, else he will not be able to trust you. He will engage with you only if he is convinced that you are genuine and would work in his interest. And this conviction will come only if you keep his needs at the center.
Personal Touch: Display of care and an element of personal touch can solve your equation with the client. By referring to him by his first name or if he is an elderly person, by his surname affixed with Mr. will be much more impactful than referring to the client as Sir or Ma'am. A call for wishing birthday or anniversary can also build your relation with the client on a more than professional level.
Convincing ability: You should possess the talent to be able to convince people. You are selling products and services, which might at times be resisted by clients. Because of someone's bad experience with mutual funds in the past, he may not be wanting to try his hand once again. So, you should be able to explain to the client, the probable reasons for his past failure, overcome his fear and direct his money towards the right fit of investments which may include mutual funds. You must also be able to convince the client that his life goals are more important than his lifestyle. He should be able to understand the fact that if his current lifestyle can result in a compromise on his future, he should immediately start cutting where possible. And building this thought process in the client's mind is not an easy task. You have to possess exceptional convincing ability for the same.
Etiquettes: People have a tendency to assume that someone who counts low on manners is equally low on the knowledge quotient. Manners are becoming very crucial for our business, since we have to tackle people from different cultural and religious backgrounds and its essential to stand up to their expectations as far as civic behavior and politeness is concerned.
Because of increasing awareness, plethora of investment options and advisors, our industry is becoming increasingly demanding. An advisor has to work on the product as well as it's packaging to be able to make it appealing in the eyes of the beholder.
