In Part 1, we explored the three investor personas laid out by behavioral finance expert Meir Statman: Utilitarian, Expressive, and Emotional. As a Mutual Fund Distributor (MFD) or financial advisor, this framework is not just insightful, it’s essential.

Because when you understand the lens through which your investor views money, you don’t just talk about products or performance. You connect. You communicate in their language. You deliver real value.

In this post, let’s go a level deeper. 

Let’s understand how these investor types behave in real life. 

What do they say? What do they want? What signs should you look for? How do you connect with them, serve them, and retain them?

1. The Utilitarian Investor: “Show Me the Results.”

This is your classic ROI-driven investor.

They ask for returns first. They want to compare funds. They want to beat the market. And they believe that investing is about maximizing outcomes in measurable ways.

You will often hear questions like:
“How much CAGR can I expect?”
“Which fund has the best 3-year return?”
“Why should I invest in this versus that?”

They are rational, spreadsheet-oriented, and logical. They like dashboards, reports, charts, and performance summaries. They often come well-researched. And sometimes, they need a financial partner who can simplify complexity, not someone to emotionally handhold them.

But be careful. While Utilitarian investors may seem like they only care about numbers, there’s often an underlying need to feel in control. To feel competent. To feel that their money is working as hard as they do.

So, how do you win with them?

By being factual, transparent, and structured. By showing your process. By giving evidence. And most importantly, by aligning investments with their bigger goals so they see the real-world relevance of the numbers.

2. The Expressive Investor: “Make Me Feel Smart, Seen, or Successful.”

This is the investor who sees money as a mirror. For them, wealth is not just a resource; it is a reflection. Of identity. Of values. Of how they wish to be perceived.

They might invest in ESG funds because it aligns with their worldview. They might want to talk about venture capital, PMS, or structured products not necessarily because of returns, but because it signals sophistication.

You will hear questions or statements like:
“I want to invest in companies that are doing good.”
“I was talking to someone who invested in a fund in Silicon Valley.”
“My friend just exited from an angel investment, and I want to explore similar ideas.”

These investors are expressive. Not just in what they say, but in how they choose. 

Their portfolio is a form of self-expression. For some, it’s status. For others, it’s values. For many, it’s about identity.

So how do you serve them?

By understanding what they want their money to say about them. By giving them solutions that align with their worldview. And by creating portfolios that don’t just perform but also resonate with who they are.

If you misread this investor as a Utilitarian one, you’ll end up pitching performance. And it won’t land. Because for them, performance is table stakes. What matters is how the investment makes them feel about themselves.

3. The Emotional Investor: “Help Me Sleep at Night.”

This is perhaps the most common investor and the most misunderstood.

They may not say much about CAGR or fund categories. But they will ask you:
“Will this be safe?”
“Is this the right time?”
“What if markets go down?”
“What happens to my family if something happens to me?”

They are not driven by returns. They are driven by reassurance. By peace of mind. By emotional clarity. For them, wealth is about protection. Safety. Security. Not stress.

Often, Emotional investors are misjudged as “not interested” in money. But the truth is, they are deeply interested. Just not in the way most financial professionals think. Their version of wealth is peace.

What do they need?

They need to trust you. They need to feel understood. They need consistent communication, calmness during volatility, and handholding through tough times.

This is the investor who values regular check-ins. Who appreciates you remembering their anniversary. Who wants to talk about their children’s future, not Nifty levels.

You don’t win them over with technical and sophistication. You win them over with presence. With empathy. With human connection.

But The Big Insight is That Most Investors Are a Blend.

Very few people are purely one type. Most are combinations. A person could be Utilitarian about their business money, Expressive with their philanthropic investments, and Emotional when planning for their children’s future.

Your job is to identify which identity is dominant in which context. You must observe their language. Watch how they respond. Ask deeper questions. And most importantly, listen.

Behavior is your biggest clue. Words may mask. But actions reveal.

Someone who opens their app every day is likely a Utilitarian. Someone who forwards articles about alternative investments is likely Expressive. Someone who asks for frequent reassurances is likely Emotional.

The moment you understand their lens, you stop selling products. You start delivering value.

Why This Matters So Much

Financial professionals lose clients not because they are incompetent, but because they are irrelevant.

You may be brilliant with fund selection, but if you are speaking the wrong language to the wrong investor type, your message will fall flat.

The Emotional investor will feel anxious. The Expressive investor will feel uninspired. The Utilitarian investor will feel unimpressed.

This framework helps you prevent that.

It helps you design onboarding experiences, review meetings, communication plans, and even product recommendations based on psychology, not just suitability.

It lets you move from being a distributor to becoming a guide.

The Meir Statman framework is not just a clever behavioral model. It’s a mirror. For you and your clients.

It reminds you that no investor is just a number or an account. They are people with needs sometimes rational, often emotional, and always human.

The next time you sit across an investor, don’t just ask how much they want to invest. Ask what they want their money to do for them. Observe what kind of language lights them up. And adapt your approach.

Because the best MFDs don’t just give returns. They give relevance. And that comes from understanding the real human behind the investor.