Put Your Practice into Higher Gear

Hard to believe it’s already May. If it seems like the ideas you had for your practice this year aren’t quite panning out, it may be time for some adjustments to your practice management process.

Managing investors’ nerves and setting their expectations can help to keep them satisfied with your service during tumultuous times. Educating clients about what to expect from their investments and from you, they’re less likely to be upset by things that are beyond your control. It may also cut down on the number of calls and emails you receive from anxious investors.

Another way to keep existing clients happy, while also finding time to develop relationships with potential clients, is with a strong communication strategy. Check with your compliance department, but you could consider:

  • Social media. I’ve blogged about incorporating social media before and provided some dos and don’ts.
  • E-newsletter. Consider sending an e-newsletter each quarter that provides topical financial information that your clients may find interesting or useful. This can help you increase your credibility, encourage client interaction, and make it easy for clients to refer you to others.
  • Brief personal interaction. Reinforce your efforts with personal contact where you feel it makes sense. This doesn’t have to take a lot of time. Setting reminders to contact clients on their birthdays, anniversaries, or holidays, for example, can go a long way in maintaining relationships.
  • Community visibility. Volunteer, tutor, coach, or join a board of directors for a community or charitable organization. You can give back in ways that elevate your standing and grow your reputation in the community.

Your time is your product. By focusing on good communication habits, you can spend less time on unprofitable activities and more time serving current clients and courting potentially profitable new ones.



Principal Funds, Inc. is distributed by Principal Funds Distributor, Inc.