| Client Experience Initiative
Using Behavioral Coaching to Build Investor Resilience
After a strong start to 2020, the economic outlook waned as COVID-19 gripped the world. Volatile markets tested investors’ resilience as well as their risk directive – and completely transformed the client-advisor experience.
Periods of stress can amplify the value of advice, not only through the benefits of holding a well-constructed portfolio but also in providing clients the structure and guidance to make difficult choices. Risk is not just volatility; a goals-based approach might yield a different perspective.
Advisors can help seasoned investors look to their experience in weathering past storms and coach new investors on sticking to the path toward long-term goals. Behavioral economics can inform the tactics that advisors use to help clients balance their IQ (objective reasoning) with their EQ (emotional responses).