by Dom Spalding
In recent weeks it's become clear that the ongoing global pandemic has knocked some clients off course. They have started to lose the belief that their most deeply held dreams and life goals are achievable. Gently challenging this is an integral part of my role as their guide.
At times like this the caring, empathic financial planner really comes into their own. What we do is much more than simply telling the client to sit tight, it's about truly being there with them when they are in the hole and helping them to work out what the first step is to move forward. So how do we do this?
Firstly, we must understand what has changed since last time we saw the client to help them face the reality of where they are now. Much as the numbers may not be as good today as they were three months ago, that doesn't necessarily mean that their plan is off track.
It is very easy to find a reason not to do something when doing something requires change. We all know that change can be painful, and we all want to avoid pain! Helping clients find the inner courage to take that first step is the key. We must recognise their emotions, pause, give them space and respond with empathy. The fear they feel is real. If we're not able to help them find their own path to move forward, then all we're doing is imposing our values. An empathic planner can help clients find the vigour within themselves that allows them to move forward.
We recently worked with a new client we'll call Mae. Mae initially approached us because she had received a legacy from her father which she wanted to invest. Mae has been diagnosed with a life-altering chronic illness. But she has a dream to move back to her childhood home in the North of England. Mae can vividly describe the home she wants, the valley where it sits and the view from the garden.
In our initial planning, we were able to help Mae understand what was really important to her, to craft a plan and then show her that not only was the move north possible but that she could do it far sooner than she ever thought. The change in her throughout this process has been wonderful to see.
When the pandemic struck, Mae's dreams did not change because markets were falling. Her confidence however had taken a knock. Our role was to help her look at her situation clearly, to cut out the noise and to help her see that she could still achieve what she wanted. Cashflow is key here, for it allows us draw focus away from the money itself and remind the client that it's the accomplishment of their goals which really matters – the money is simply the fuel.
Like many of us, Mae has had to put things on hold during lockdown but is still heading toward her dreams with confidence. That confidence stems from knowing that they are within reach. It drives her to do things she previously did not think possible and despite the fear she is moving forward with us by her side.
This is what we do.
Dom is the co-founder of Expert Wealth Management, a Chartered financial planning firm based in Witney, Oxfordshire.
His work primarily focuses on retirement income planning which he defines as heling clients to maintain financial dignity and independence in retirement - whatever that may mean to them.
Outside of work Dom is a fanatical road cyclist and is at his happiest climbing in the Alps in the summer.
