2. Upgrade your client communication—and your due diligence.
A huge part of due diligence is client communication. To comply with the new regulations, create a formalized communication plan and execute it consistently. It’s one of the simplest things you can do, and it delivers clarity and transparency. To get started, email your clients with three simple questions: How often would you like to hear from me? What method of communication do you prefer? What events or education interest you?The results may surprise you. I counseled one firm whose clients replied that they expected to hear from their advisor weekly—and even daily during market turbulence. The advisor was overwhelmed because of this “can of worms” that had been opened, and it was in writing. In reality, it was fantastic news. Information is power, and knowing that a client has unrealistic expectations enables you to address the issue and manage those expectations, all in writing.
Of course, the last question is pure marketing leverage, giving you valuable client insights and an immediate pool of ideas for future events and webinars.
3. Focus on acting in each client’s best interest—and shout about it!
I know. I know. You’ve been doing this for years. At least the first part. But while many advisors are busy getting sidetracked with the all of the “don’ts” that come with the DOL rule, take advantage of this moment to tell your clients and prospects that you are their trusted fiduciary. You’ve spent your career being the decidedly unflashy “nerd” and acting in the best interests of your clients, even while your competition was wooing some of your best A clients with bells and whistles. It’s time to give that guy a run for his money—and perhaps add a chunk of his AUM to your own book of business.
Oscar Wilde once said, “Consistency is the last refuge of the unimaginative.” Perhaps, but remember that he most definitely wasn’t a nice guy. You are. Be consistent, and as soon as you’re done jumping for joy, go grab that piece of the market that’s been waiting for you.
Before investing, carefully consider the FlexShares investment objectives, risks, charges and expenses. This and other information is in the prospectus, a copy of which may be obtained by visiting www.flexshares.com. Read the prospectus carefully before you invest. Foreside Fund Services, LLC, distributor.
An investment in FlexShares is subject to numerous risks, including possible loss of principal. Fund returns may not match the return of the respective indexes. The Funds are subject to the following principal risks: asset class; commodity; concentration; counterparty; currency; derivatives; dividend; emerging markets; equity securities; fluctuation of yield; foreign securities; geographic; income; industry concentration; inflation-protected securities; interest rate / maturity risk; issuer; management; market; market trading; mid cap stock; natural resources; new funds; non-diversification; passive investment; privatization; small cap stock; tracking error; value investing; and volatility risk. A full description of risks is in the prospectus.