Keep Client Interactions Calm and Focused

Whenever I sense that a client is starting to get stressed in a meeting, I know that I must take action. I imagine, for my own amusement, that a small pressure relief valve is protruding from the side of his neck. In my mind’s eye, I reach across the conference table and gently turn the valve to back off the pressure until I sense that the client’s stress level has dissipated and his demeanor has returned to normal. This is is my cue to find a way to relieve his stress. If we are discussing the proposed allocation of his portfolio, I will say something like, “We are not making any decisions today. We are just talking. I will send you home with some materials to review on these investments and then we will get together again to make decisions. If you have objections to any of these recommendations, we will set those investments aside and keep working to find the right solutions. You are in the driver’s seat.” The client immediately relaxes, and I can see that we were moving too fast in making investment decisions. Communicating to the client that I was in no rush let him know that he was in charge, and that we would move at a pace that was comfortable for him.

If we are discussing our fee arrangement, and it is clear the client is getting uncomfortable, I will say something like, “I realize that you may not be used to paying an advisory fee, and if this type of arrangement doesn’t work for you, I will understand. I may not be a good fit for you, and that’s okay. There are other good advisors out there, and many of them do not charge a fee. Take some time to think it over, and let me know if you would like to proceed.” I am giving the client a way out. This relieves the immediate pressure so he can evaluate the merits of working with me and my staff in an atmosphere free of stress. When people are under pressure they make poor decisions. Stress can produce indecision and paralysis. My job is to help my clients make good decisions. If I create a high pressure environment, I am going to destroy my ability to help them make good decisions. If I am oblivious to the stresses they are under, I will plunge headlong into a morass of hesitation, suspicion, and doubt in the client’s heart. Once I have created those emotions, I will likely never turn them around.

Develop an Affable Bedside Manner

Never lose your temper with a client; no matter how justified you deem the provocation. Keep your demeanor deferential, polite, and courteous at all times. There is no place for arrogant pride, condescension, or intemperate behavior in your client relationships.  Rather, work hard to display humility, professionalism, and self-control in every client encounter. Some clients are hard to love, but love them we must. In our practice, the majority of our clients are in retirement.  At that stage of life, we see our clients struggle with frequent and significant loss: hearing, memory, spouses, and sometimes even children or grandchildren. We need to be sensitive to the challenges our clients are facing. Clients need our friendship, and they need our reassurance and support. We must be willing to forgive their quirks and small offenses as we hope they will forgive us. Working with clients, especially older clients, sometimes can be frustrating. Communication between people is always a potential source of difficulty. The Apostle James gave some great advice, “Be quick to listen, slow to speak, and slow to anger.” – James 1:19. The onus of good communications is upon us as the advisors. We must take responsibility for ensuring that our clients’ communication challenges are overcome. When we as advisors take the lead and treat our clients with dignity and respect, our staff members will follow suit. Set the best example and lead from the front.