Finance Monthly. Banking & Financial Services 69 the family dynamic. By bringing in younger generations and creating transparency, it allows the older generation to explain why they are structuring things the way that they are, which can be very helpful when that person passes and avoid conflict between beneficiaries. What other factors can complicate the creation of a financial plan? Involvement from the family or individual. The numbers are objective, but a lot of financial planning is subjective and requires feedback from the client. I can create what I think is an amazing financial plan for a client, but they are the ones that must live it, and the plan needs to reflect their preferences. I will do most of the heavy lifting, but a good financial plan requires collaboration and involvement from the client to create a quality finished product. How has your approach to financial planning developed during your years in practice? I first entered the industry right after college. I was focused on getting my licensing, CFP® marks and trying to learn all the theory and technical aspects of financial planning and investments. I wanted to know what my colleagues who had more experience than me did and how to recommend and implement complex strategies for clients. I also thought that managing investments was primarily what a financial advisor did and that to provide value, I had to outperform markets. In my earlier years, this led to lengthy spreadsheets and more complexity around investments, and while being technically sound, I feel that they may not have resonated with all my clientele. As I have matured in my practice, I still stay on top of all the changes to financial planning theory and the various investments available, but my focus is more on being a good communicator and coach. While investments play an important role in what I do ongoing for clients, there is a lot in financial markets that nobody can control, and I’ve realized that as an advisor, I should focus my expertise on the factors of financial planning that we can change and that will create a larger impact for my client. As I mentioned earlier, I think the most valuable piece of a financial plan is that it is actionable. If I provide the most complex recommendation with tens of thousands of dollars in tax savings or a better investment structure, it means nothing if I can’t communicate it in a way that not only informs my client but motivates them to act on it. “I think the most valuable piece of a financial plan is that it is actionable.”
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