Behavioral coaching is one of the most important things a good financial advisor can do to add quantitative value to their client's assets, and qualitative value to the experience their clients receive. An advisor’s understanding of the science of human behavior and how it applies to investor behavior and financial planning is therefore crucial to the success of their clients.
At CWA, we practice a 4-step process that helps clients identify their values so that we can help coach them to making the best financial decisions possible. The advisors in the article take a goals-based approach, which is good. We take it one step further with a vision-based approach and then help define goals, making sure that they align with the vision our clients have put forth. The article below provides an outsider’s view as to why this is important and why it is successful.