July 14, 2020
Top 4 Keys To Client Retention
Betterworth Team

The most important – yet overlooked – aspect of being a financial advisor is how well you can keep your clients. As many advisors primarily focus on acquiring new clients to grow their business, they often leave current clients unsatisfied. When this happens, it’s expected that the client is already looking for another advisor. Not only will this stunt your performance but it will also further yourself from reaching your targets.

Maintaining a strong, trusting relationship with your clients is key to the success and growth of your business. Here are some methods you can use to help improve and strengthen your client relationships to boost your client retention.

1. Transparency

Many advisors tend to avoid discussing fees and prefer to focus on the value they can offer the client. Although it is important to highlight your value, do not skim the surface when talking about fees. Clients do not appreciate ambiguity regarding fees from their advisors. Often this is what widens the gap between advisors and their clients and weakens their relationship. To avoid this, advisors should be straightforward and not downplay the fees. This will show the integrity and transparency of your business which leads to a bettered advisor image.

2. Communication

There is nothing worse than not knowing where your money is going. Never leave your clients questioning what move you will make with their portfolios. Instead communicate with them with personalized explanations regarding the decisions you are making with their concerns and risk tolerance in check.  Periodically checking in with your client, helps you level set expectations, understand changes in their life and to keep you on top of mind.

3. Performance

Of course, you cannot forget about your own performance as an advisor. Aligning your performance with your client’s financial goals is what will determine your success as an advisor. Being either too hesitant or too risky with your investment choices can displease your clients. Understanding your client’s personality, financial goals, and risk tolerance will give you key insights on how to properly manage your client’s portfolio in order to reach or outperform their expectations.

4. Meeting Requests When Possible

Setting yourself apart from other advisors will show your true value as an advisor. Often clients request unreasonable targets or expectations from their advisors which they will struggle to meet. However, do not shy away from these. Your approach should be accommodating their requests and you should put maximum effort in reaching them. Clients will appreciate your initiative and when they compare you to other advisors, your true merit will be shown.

How well you can keep clients will determine your success as an advisor. At Betterworth, we cherish the relationships that were created between advisors and their clients. We see the value that it provides and want every client and advisor to feel comfortable with each other. 

The first step to creating a successful portfolio is to have a bonding client and advisor. So come take your first step at Betterworth – it will change the dynamic of your business. 

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