10 ID Trends NAILBA
Client Servicing Trends
3 ways to help clients navigate market volatility
Some days can feel like a media whirlwind , thanks to the 24-hour news cycle and hyperconnected world . The ups and downs reflected in today ’ s headlines — and markets — have left many people feeling uneasy , unsure , and worried . Recent consumer sentiment reveals that general concerns about the pandemic are beginning to recede , but that uneasiness about the economy is on the rise .
Andy Bucklee is Senior Vice President and Head of Insurance Solutions Distribution for Lincoln Financial Distributors .
According to LIMRA ’ s April 2022 research
More than half of Americans have expressed a growing concern about the economy A staggering 95 % are truly troubled about the impact inflation may have on their overall quality of life . *
* LIMRA , Consumer Sentiment in the Time of COVID-19 , April 2022 .
So , what can financial professionals do to reassure clients and help them stay on track to reach their long-term financial goals ? Go back to the fundamentals . First , they can proactively engage with clients to find out what keeps them up at night , then inform them about the trends around the economy and market volatility , and finally recommend that they review their current financial plans , revisit their goals , and make adjustments if needed .
Engage
The only way to get a real pulse on what financial concerns clients have is to connect with them . It ’ s important for the financial professional to proactively reach out to clients during market unrest instead of waiting for them to make the first call . This builds trust and establishes deeper loyalty . Clients may already be fighting the impulse to react instinctively to rising interest rates , inflation , and market instability , thinking that they should abandon the markets to protect their assets . By simply picking up the phone and giving clients a call , financial professionals can make a timely connection to help them see the bigger picture .
Empathetic listening combined with thoughtful questions will allow pertinent information to be gathered as a way to gain a deeper understanding of clients ’ concerns . For clients , knowing they have a financial professional who cares about their business needs and is someone they can trust may go a long way to calming their nerves and strengthening the partnership .
Inform
Market fluctuations , while unsettling , are not unexpected — but not all clients may understand or know the history behind the economics . Financial professionals need to share industry data and trends around market volatility so their clients can better appreciate the significance of the circumstances and gain greater insight into market instabilities .