As an independent financial advisor, you’re in the relationship business. You work hard to build strong relationships with prospects, centers of influence, and especially your clients, which has been key to your success. But what are you doing to foster relationships with your clients’ families? The sad reality is that many of your clients will pass away. But if you form trusted bonds with their family, your relationships won’t end there.
When helping people build wealth, it’s about more than the money. You grow to care about their legacy and the welfare of the loved ones they leave behind. The client’s spouse, children, grandchildren, and other beneficiaries will benefit by continuing to work with you. After all, you’ve proven yourself capable and trustworthy; you have the opportunity to continue managing funds for the surviving spouse or the next generation.
Here’s how to position yourself for a lifetime of relationships by creating better touchpoints with a client’s family.
Estate planning
As much as the client will allow, include family in the estate-planning process. Relay to your client the importance of involving family and ensuring that they know everything in the estate plan that pertains to them. Nobody should be caught off guard when it comes to expectations, responsibilities, or liabilities.
For example, when your client sets up a power of attorney, writes a will, or adds a beneficiary to an account, get their permission in writing to communicate all changes to appropriate family members.
While the estate attorney will handle many of the documents, you play an important part in the process. As you communicate with family members, it’ll bring their attention to your role as a trusted professional facilitating the process.
Client events
Client-appreciation and educational events are some of the best ways to strengthen your relationships with clients, and this is a good time to meet and connect with their families.
If you’re hosting a fun, casual event, such as a picnic or day at the ballpark, extend the invitation to their children and grandchildren. If you host educational webinars or in-person seminars, occasionally speak on a topic that would interest the younger family members of your clients, like college financial aid or investing for teens and young adults.
Every opportunity you have to introduce yourself to the family is a chance to become known among their circle as the go-to trusted advisor. If “Uncle Joe” is the financially secure one in the family, his nephew is likely to turn to him when he begins accumulating wealth of his own.
Thoughtful generosity
Little gestures go a long way in making a favorable impression on family members. Something as simple as sending birthday cards yearly or small but thoughtful holiday gifts garner positive associations with your brand.
Few businesses send snail mail, so this seemingly old-fashioned touchpoint is an effective way to stand out and show that you care. People like to be recognized; sending a tangible item through the mail lets the family know you’re thinking of them while ensuring they see your name often enough to recognize it.
Family meetings
Make it a practice to include family in meetings whenever possible. If you commonly meet with only the head of household or breadwinner in the family, help the client understand the value of bringing their spouse into the loop.
Bring adult children or older grandchildren into the mix as soon as appropriate. This is a common practice among high-net-worth families, but it would benefit any family with accumulated wealth and beneficiaries. Your client would not want their hard-earned assets to be mismanaged after their death, so present these meetings as a win-win for all.
If the family can’t attend meetings live, send a video recap of important discussions. If your client is concerned about privacy or family drama about money, reassure them that they are in control of the level of detail shared during meetings. The purpose of including family is to instill confidence, make the right people aware of key decisions, and establish yourself as the trusted family resource for wealth management.
Newsletters
An email or print newsletter is a tried-and-true way for advisors to stay top of mind with clients and prospects. In your newsletter, update them on the goings-on in your office, keep them abreast of market activity, and offer educational articles and resources.
Adding family members to your newsletter mailing list allows you to regularly get your brand in front of them positively, boosts your credibility, and creates a sense of community. It’s an ongoing reminder that their wealth or future inheritance is managed by a trusted professional, and it can serve as a tool to foster referrals.
Family wealth matters
Well-established wealth management firms are known for partnering with multigenerational families for a reason. It makes sense on a personal level, but it also makes good business sense. However, unless you’ve solidified your relationships with family members, you will miss an opportunity to carry on as their advisor as the younger generations come of age.
