In our world, both financial professionals and investors often gravitate towards quantifiable metrics. Performance reports, asset growth, fees, and returns are meticulously scrutinized. While these tangible aspects are undeniably important, they only tell part of the story. There exists an area of invaluable contributions that defy these numerical numbers yet are profoundly significant. As real financial professionals, it’s time we spotlight these immeasurable contributions, as they form the core of our true value proposition.

The Tangible Contributions

Let’s start with the quantifiable elements of your work. These are the metrics that can be easily tracked, measured, and analysed. They are critical components of your relationship and often serve as the initial benchmark for evaluating your effectiveness.

1. Portfolio Performance:

1. • You are often judged by the performance of the portfolios you manage. This includes returns on investments, risk-adjusted returns, and performance relative to benchmarks.

2. Asset Allocation:

1. • You meticulously design asset allocation strategies to balance risk and reward according to the client’s goals and risk tolerance.

3. Cost Structures:

1. • Costs are straightforward to quantify. Clients know exactly how they are paying for your services and how you are compensated.

4. Tax Efficiency:

1. • Strategies implemented to minimize tax liabilities can be quantified in terms of tax savings.

5. Financial Life Planning:

1. • Comprehensive strategies, including projections for retirement, education funding, and major purchases, come with detailed numerical breakdowns.

The Intangible Contributions

However, the true essence of your value extends far beyond these measurable components. There are dimensions of your relationship that cannot be easily quantified but are incredibly impactful. Here are some of the most significant intangibles:

1. Security:

1. • Beyond financial security, you provide emotional security. Clients feel safer knowing they have a real financial professional guiding their financial decisions, especially during turbulent times.

2. Freedom to Live the Life They Have Imagined:

1. • A world class professional helps clients align their financial resources with their life goals, enabling them to live the life they have always envisioned.

3. A Purposeful Life:

1. • Real Financial Professionals often help clients find purpose through their financial decisions. Whether it’s philanthropic endeavours or creating a legacy, they guide clients to use their wealth meaningfully.

4. A Life Where Money is Always Available:

1. • Through careful planning and risk management, professionals ensure that clients have access to funds whenever they need them, regardless of market conditions or unforeseen circumstances.

5. Peace of Mind:

1. • Perhaps the most significant intangible benefit is peace of mind. Clients sleep better knowing that their finances are in capable hands, that they are prepared for the future, and that they have a plan in place for life’s uncertainties.

6. Taking Care of the Next Generation:

1. • Real Financial Professionals play a crucial role in ensuring that wealth is transferred smoothly and effectively to the next generation. This involves not just financial life planning, but also preparing heirs to handle their inheritance responsibly.

7. Maintaining and Upgrading Lifestyle:

1. • Professionals help clients sustain and improve their lifestyle over time. This involves not just managing investments, but also planning for expenses and ensuring that clients can enjoy their wealth.

8. Guidance in an Uncertain World:

1. • The world is full of uncertainties, and financial markets can be volatile. You provide steady guidance, helping clients stay the course and avoid making impulsive decisions during market swings.

The Holistic Value 

Understanding your full value requires a holistic view that encompasses both the tangible and intangible contributions. You must communicate these intangibles effectively to clients, emphasizing that your role is not just about numbers, but about enhancing overall quality of life.

The Hidden Cost of Obsession with Numbers

Far too much time is spent fixating on numbers, costs, benchmarks, and other quantifiable metrics. This obsession can lead to a narrow focus that overlooks the broader, more meaningful aspects of money and investing. Financial professionals and investors alike need to shift their focus from merely counting numbers to appreciating the deeper value of financial guidance.

1. The Role of Education and Communication:

You must educate your clients about the importance of the intangible aspects of financial planning. This involves regular communication, storytelling, and demonstrating how these intangibles have made a difference in other clients’ lives.

2. Building Trust and Relationships:

Your client relationship is built on trust. By focusing on intangibles such as emotional security and peace of mind, you can deepen this trust. Personal connections, empathy, and understanding clients’ values and aspirations are crucial.

3. Long-term Perspective:

Intangibles often come into play over the long term. You should encourage clients to adopt a long-term perspective, showing how strategic planning and patience can lead to a more fulfilling life.

Implementing the Focus on Intangibles

To effectively highlight the value of intangibles, you can implement the following strategies:

1. Regular Reflective Meetings:

1. • Schedule regular meetings that focus on reflecting on the client’s progress towards their life goals, rather than just their financial metrics. This helps clients see the bigger picture and appreciate the non-quantifiable benefits of financial planning.

2. Personalized Client Stories:

1. • Share success stories of other clients (anonymously, of course) to illustrate how intangible benefits have significantly improved their lives. Stories are powerful tools for communicating complex concepts and making them relatable.

3. Goal-based Discussion Sessions:

1. • Conduct sessions dedicated to discussing clients’ personal goals, dreams, and aspirations. Use these sessions to align financial strategies with these life goals, ensuring that their money serves a greater purpose.

4. Holistic Reviews:

1. • During annual reviews, go beyond numbers. Discuss the client’s overall well-being, their family’s financial health, and any changes in their personal or professional life that might impact their financial goals.

5. Educational Workshops:

1. • Host workshops that educate clients about the importance of intangibles in money and investing. Topics could include legacy planning, philanthropic endeavours, and the psychological aspects of money and investing.

6. Transparent Communication:

1. • Maintain transparent communication about both the tangible and intangible aspects of your services. Help clients understand that while numbers are important, the real value often lies in the peace of mind and security that can’t be quantified.

The Call to Action 

As a real financial professional, it is your responsibility to highlight the full spectrum of your value proposition. While it’s essential to quantifiable results, you must also articulate the significance of our intangible contributions. A strong performance is a function of how well you have aligned your clients’ use of their money with what’s truly important to them.

You should strive to:

• Emphasize a world class process for making financial decisions:

• • Demonstrate how having a process addresses both measurable goals and intangible needs.

• Share Success Stories:

• • Use real-life examples to illustrate how intangible benefits have positively impacted clients’ lives.

• Engage in Continuous Learning:

• • Stay informed about the latest trends in the work you do, behavioural finance, and client relationship management to better serve clients.

• Promote the Value of Peace of Mind:

• • Regularly remind clients of the peace of mind that comes from knowing their financial future is in good hands.

Beyond Numbers

While the tangible aspects of the work you do are critical, the intangibles often hold the key to true client satisfaction and long-term success. By focusing on both, you can provide unparalleled value, helping clients achieve not just financial success, but also a richer, more fulfilling life.

So, next time you meet with your clients, remember to ask yourself: What is it that you do that can be counted? More importantly, what is it that cannot be counted?

The answers to these questions will not only set you apart as a real financial professional but also reinforce the profound impact you have on your clients’ lives. Everything that counts cannot be counted, but its value is immeasurable. Shift the focus from mere numbers to a more holistic view that encompasses all aspects of financial well-being. This approach will not only enhance client satisfaction but also solidify your role as a trusted real financial professional in an increasingly complex financial world.