The work we have witnessed from good financial professionals highlights the differences between those firms focusing on the delivery of greater financial certainty and those firms focusing on the delivery of cheap or best performing products.
Good financial professionals understand the volatility of tomorrow’s sharemarket, or next month’s reserve bank meeting, or next year’s government election, and what such changes will mean to today’s best or cheapest product. Small changes in a myriad of areas can easily transform today’s rooster performer into tomorrow’s feather duster.
Good financial professionals deliver certainty despite the ever-increasing offerings provided by colossal and global product providers. These manufacturers spin the virtues of their product offerings and pricings as being the panacea for everyone’s financial trust and certainty, even when nothing could be further from the reality for each consumer.
Good financial professionals deliver certainty in a constantly uncertain world. Mining booms will come and go, international markets will fluctuate, countries and companies the size of countries will not perform predictably, natural and unnatural disasters will occur, and unforeseen threats will raise their ugly heads. The ramifications of each of these events will affect the certainty people seek, and good financial professionals anticipate these.
As students of behavioural finance, good financial professionals also understand our ‘natural financial wiring’. They know it adversely affects most peoples’ objective financial decision making (i.e. most of us mere mortals tend to buy high and sell low), and they know how this thinking will most significantly affect the attainment of greater financial certainty in our lives.
Even more importantly, they understand their clients well enough to deliver the wealth management services required to reinforce and lead their clients on the financial journey most appropriate to deliver the certainty each and every client seeks.
Other instalments in this series:
About Jim Stackpool
For nearly 30 years Jim has influenced, coached, and consulted to advisory firms across Australia. As founder of Certainty Advice Group, he leads a like-minded team of professional advisory firms seeking to create greater certainty for their clients. As an author, blogger, columnist, and keynote speaker, Jim is regularly called upon for his professional insights into the advice industry. His latest book Seeking Certainty is available now.