What You Should Be Telling Your Clients About the EU Reforendum

BL35

With the news of the Brexit vote, there has been no shortage of media coverage on the EU referendum. The media does a good job making our lives slightly more complicated as financial advisors, because of the fear induced language that covers our client’s television screens. When the news broke, my team and I worked together quickly to send out an email to our clients, “What You Need to Know About the Brexit Vote.” The newsletter we sent out had a 61% open rate compared to the 25% average and I received multiple emails thanking me for the calming message. So what did I tell my clients and what should you tell yours?

 

Tune out the Media

I reiterated to my clients that the media is always going to inspire investors to panic. These types of sound bytes are designed to disrupt your client’s emotions; these types of disruptions can provoke a reaction that results in the wrong decision being made in the moment. Your clients will be immersed with media headings in the coming weeks and months and unfortunately the noise will cause them to question their investments. As a financial advisor and financial caregiver, you should focus your clients on thinking positively and staying calm through the news.

 

“How will the EU Referendum Impact My Retirement?”

You may find that some of your clients are asking how the United Kingdom leaving the European Union will affect their retirement accounts. This is your chance as a financial advisor, to manage your clients' fears and emotions by speaking of their retirement accounts from a long-term point of view: When your clients have a 30-year retirement, does a short span of time matter much in comparison? If your clients worry about their retirement accounts, focus them on the long-term goals and the fact that the impact we’re seeing today is only short-term and really just noise.

 

The Companies that are Down Today Are Still Great Companies

It’s no surprise that our clients might be concerned with their investments, however it’s our responsibility to show them that this isn’t a time to panic but rather an opportunity for investors. Those who can manage their behavior have a chance to acquire more wealth and you can help them achieve that. By showing your clients that this isn’t an opportunity to panic, sell, or trade you’re teaching them optimism. It is my belief that continuously managing client behaviors to focus on their long-term financial planning goals is our job as financial caregivers.

This is also an opportunity for your business to grow. As your clients begin to realize that if left to their own devices, they would make the wrong decisions, they’re going to be more likely to refer friends and family. By sending a calming message without clients having to pick up the phone and voice their concerns, you’ve placed yourself ahead of the media. As your clients watch the news they know that the panic-inspiring messages are nothing to worry about because you’ve already done your job by reassuring them to stay calm.

 

If you found this article helpful, continue reading “The Entrepreneurial Financial Advisor.” We love sharing our financial advisory insights to entrepreneurial financial advisors. For more tips on how to grow as a financial advisor, manage your clients’ behavior, and improve your business be sure to subscribe to our newsletter by clicking the button below!