Financial Planning Process The Art of Building Relationship

1
Financial Planning Process - The Art of Building
Relationship

• Ira H. Fateman, CFP, M.Ed.

2
Current State of PFP Programs

• Curriculum is content focused even though
  financial planning process is emphasized
• Content is constantly changing
• Many class instructors are experts in content
  field not necessarily in process
• Global comprehensive view across content areas is
  difficult to integrate in current programs

3
Training and Practice

• Education and Training
• 80 content
• 20 process
• Practice
• 20 content
• 80 process
• Content is useless without client relationships

4
Client Relationship Training

• Goal To transform into organized, intentional,
  strategic and tactical skill set
• Meet the practitioner where they are at
• Teach new skills while incrementally shaping
  existing skills
• No need to build separate system or create new
  mountains to climb
• Realistic expectations/timelines
• Realistic role plays and videotaping

5
Value Added

• Financial services is becoming a commodity
• Relationship building skills transforms commodity
  into value added Wealth Management services
• Financial service professionals can be trained in
  basic communication and counseling skills

6
Transition to Practice

• Large interest and demand due to demographic
  changes
• CFP certification is Cadillac designation
• Content emphasis addresses only portion of
  professional responsibility
• Process (communication/relationship building
  skills/counseling skills) builds confidence and
  differentiates CFP certificants

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Relationships Building Skills

• Client focused
• 4 dimensions
• Core responsibility (financial services)
• Relationships
• Psychology
• Decision making
• Communication skills and managing clients
• Active listening
• Empathic state of mind
• Reframing and Behavioral finance
• Motivational tools and techniques
• Leading from behind
• Overcoming obstacles to implementation of plan
• Managing expectations
• Developing shared language

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Benefits to Students

• Comprehensive training including what (content)
  and how (process)
• Better prepared to deal with clients
• Differentiates the Personal Financial Planning
  certificate from other trainings
• Geometrically increases skill level and
  likelihood for success in practice
• Marketing power because skills really work
• Client focused

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Integration of Relationship Skills

• Practicum
• Train current instructors
• Bring specialists to provide workshops
• Offer optional class
• Collaborate with the Financial Planning
  Association and local firms