How advisors can help build clients’ confidence

There are several ways advisors can help their clients build financial confidence and support overall financial well-being.

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Carissa Lucreziano, vice-president with CIBC Financial and Investment Advice, said to start by allocating time in a meeting for financial education.

“Ask your clients in advance what they would like more information on or what they’re interested in learning more about,” Lucreziano said. She suggested sending clients questions in advance and then  preparing the appropriate tools and references, which will “help build that trust and confidence.”

Advisors should not underestimate the importance of sharing tips around budgeting and the value of investing, she said. While they are topics advisors may cover every day, a meeting with their advisor might be one of the only opportunities clients get to discuss these matters throughout the year.

Another way to help clients feel more in control of their finances is providing them with appropriate planning tools, Lucreziano said. Getting clients comfortable with digital tools and providing them with tips, tools and good money management practices “can make the world of difference.”

Lucreziano said there are a number of tools that can help a client reach their financial goals, from budgeting for a renovation or investing in a child’s education, to advice on paying down debt. 

A financial plan is also a valuable tool that can help clients visualize their goals. Most important, Lucreziano said, is to put that plan in motion. 

“A plan is great, but it’s the results that make a difference for our clients,” she said. 

Another way Lucreziano said advisors can make a difference is by helping clients break a long-term goal into smaller, achievable ones.

“When clients see real progress towards their goals, it helps build trust in the advice that you provide them,” she said.

“This can help clients see the possibilities that are within reach for their future and help motivate them to stick to their plan.”

Further, while the pandemic caused most Canadians to temporarily delay their dreams, Lucreziano said many are starting to make their goals a priority again. 

Not knowing where to start and time constraints are often issues, she said, namely not putting enough time aside “to really focus on financial management and planning for the future.”

And clients may not be aware of how lifestyle changes affect financial strategies, “so they may not think to share that with their advisor,” she said.

“Life is complex,” said Lucreziano. “Investors need more holistic and thoughtful advice than ever before.”

This article is part of the AdvisorToGo program, powered by CIBC. It was written without input from the sponsor.