Soft Skills for New Financial Advisors

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GaryMarch
GaryMarch FP ABFP, FP FPQP, FP CRPC, FP Exam Prep, FP 511, FP 512, FP 513, FP 514, FP 515, FP 516, FP 517 Posts: 15

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edited March 14 in Financial Planners Professional Community

In CFP studies, we primarily teach students a myriad of concepts designed to help them understand how to solve client problems and help clients reach their goals. But, and this is a big BUT, what we'll call soft skills are crucial for financial advisors—especially new financial advisors.

Building and maintaining client relationships is fundamental to being a financial advisor. Advisors need to be approachable, personable, and able to establish trust and credibility with their clients.

Clearly, advisors interact with clients personally and, therefore, must effectively communicate complex financial information in understandable ways. But active listening comes first. New advisors should develop the ability to listen actively to clients' concerns, using mirroring or paraphrasing, to ensure they understand their clients.

As they build and maintain client relationships, advisors quickly learn that understanding clients' needs, concerns, and emotions is essential for building trust and rapport. This puts a premium on empathy.

Becoming aware of and managing one's emotions, as well as understanding the feelings of others, is also crucial in the client-advisor relationship. Emotional intelligence enables advisors to navigate sensitive conversations, resolve conflicts, and build stronger client connections.

This means that even after mastering the concepts, techniques, strategies, and products that can help clients, there is so much more to learn and practice.

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