The benefit of the doubt may have died after the 2008 financial crisis. Since then, other institutions have failed us, including government, financial and religious institutions. Recent headlines reported the collapse of MF Global, insider trading arrests of hedge fund managers and the payment of another big fine by a too-big-to-fail institution for behavior that was unfair to investors. These events replay the deep and enduring damage and breakdown in investor trust and confidence. Many investors are feeling a generalized mistrust they reflect in every direction of their financial dealings.
Most Financial Advisors care deeply about their clients and rely on their sterling reputations and ever-expanding skill sets. Their reputations are built over their long careers, yet these events take their toll. They find clients are more questioning, look for more documentation and are more fee-sensitive than before. Every time a large financial institution agrees to pay a multi-million dollar fine, it plays into the script that investors have written based on experience: who can I really trust to look after my own best interests?
What are the trust-building behaviors that build the confidence necessary to allay any concerns? In our white paper produced jointly with TD Ameritrade Institutional, we address how to establish trust in the Advisor-Client Relationship. We identify several trust building behaviors — with communication chief among them – to build trust and demonstrate that their confidence is well-placed. Read on for more.
LederMark Communications is a financial services marketing firm that helps advisors, portfolio managers and firms grow their businesses with effective marketing strategy and communications.
