Attracting Top Talent…Do’s and Don’ts

One of the best sessions at the recent NAPFA National conference was one presented by Janet Briaud, Sarah Buenger & Joe Gonzales.  Much of it is common sense but warrants reminder because it’s easy to get bogged down in other things and forget about your most important asset…your team.

One important point they drove home with which I wholeheartedly agree is the firm with the best talent wins the race!  At the end of the day, this is really what makes the difference to your clients, your revenue and your quality of life.

If you’re in the market for some new talent now, don’t be tempted to underpay because you’ve been told this is an “Employer’s market”.  It is but if you underpay now, they will leave you when the markets turn and someone makes them a better offer (it won’t take much to get there).

Some other items from their presentation:

* Your firm vision should drive your hiring decisions;

* Always develop a description for the position (what are the reponsibilities, what need is this position filling?) before you begin your search;

* Develop an interview guide.  Try and be consistent with the questions you ask each candidate so you can compare apples to apples;

* Check references!

And one courtesy reminder.  Respond to each and every candidate (even if it’s a “template email”) who sends a resume.  Remember, finding a job can be a tough, stressful and demeaning situation. 

They’re out there…now go get them.

Let me know if I can assist.  Ginny

If you say you’re going to do it, then “DO IT”

Risk questionnaires, IPS’, Client contracts…all necessary in a well run RIA.  However, beware…all of these documents “can and will be used against you in a court of law”.

I recently attended the NAPFA pre-conference compliance day which was excellent.  One of the most important takeaways for me was “if you say you’re going to do it, then you MUST do it and DOCUMENT IT CAREFULLY!  It’s not enough to have a conversation with a client, it must be documented.  Best method?  In my opinion, it’s an email follow up.  Emails are archived and will show proof of your conversation.

Tom Giachetti & Bob Veres played out a wonderful and highly enlightening “mock trial” of an advisor who, despite his best efforts to do what is best for his clients, finds himself being sued by a client who claims various omissions by the advisor.  Of course, the advisor cannot document any of these conversations because after all, there is a trust there right?  Your clients would never turn on you because they trust you.

Advisors are sweethearts…everyone knows this. You truly have your client’s best interest at heart and because of this, you sometimes forego the actions that you know are necessary to protect you and your business because after all, you have this great relationship with your clients right?  What could go wrong?

Plenty…as the old adage goes…”you never really know someone until you divorce them”.  The same is true here…you  never know a client until a lawyer gets a hold of them.  In these tumultuous markets, the scene is set for trouble!

Document everything!  When you have meetings with clients, send them a recap of the decisions/discussions by email.  Set your CRM to get a receipt of delivery if it’s available.  Review your client contracts…are you fulfilling your duties.  Review client IPS’ and questionnaires.  If you asked a client “what is the largest lose in their portfolio they could be comfortable with” and they’re below that, meet with them ASAP.  If your client contract calls for certain services to be delivered and they’re not, either get a new contract signed or get the services delivered.

I know your heart is in the right place but unfortunately, I doubt if I’ll be on the jury.

Take care and call or email me with any questions or comments.

A Great Way to Keep Your Batteries Charged!

I’m sitting here in the Reagan-Washington National airport on my way home from the NAPFA 2009 National Conference.

These guys continually out do themselves and this year was no exception.  The pre-conference session on Wednesday was an incredibly helpful (if not extremely eye opening) look at what is on the horizon,compliance wise, for RIA’s.  Some of it will be only minor if noticeable blips, others will be more substantial.  Over the coming week or two, I will do my best to sort it out for you and send it to you via my blog and my emails.  If I don’t have your email address and you’d like to receive my email communications, please send it to me.

The following days and nights were full of great sessions on a wide variety of topics, lots of time to spend with great exhibitors and evenings of socialization with a variety of sub groups of NAPFA.

I know that many of you are viewing these conferences as a luxury expense but I would argue that during these tough times, they are more important than ever.  They allow you to bounce ideas off of your peers, informally benchmark yourself through conversations and recharge your batteries…remind yourself why you have chose this noble profession and that now more than ever, your skills are needed and are in high demand.  NAPFA’s next few conferences are running lean and mean, under $100 for members and under $200 for non-members.  What a great deal!

Many of the speakers suggested you use this period of time to get you processes in place, train on software, systemize as much as you can and in general, get your office in order for the coming days.  Additionally, focus your energies on your current clients, answering their questions, working with them and in general, keeping them happy and content (if not with the markets, with your service level).

If I can assist in any way, please do not hesitate to give me a call.  Thanks!