Know clients better to build your book

In the 1992 movie Glengarry Glen Ross, Blake, played by Alec Baldwin, coined the phrase “Always Be Closing.” When learning about your clients, change this to “Always Be Curious.” It’s important to keep being inquisitive with your clients, even longtime ones. If you’re constantly learning about your clients, you may find new opportunities for business.

Three points to consider when getting to know clients:

Reinforce your ideal client profile

Begin with saying, “Thank you for taking the time today to determine if there’s an opportunity for us to work together. Our business is designed to work with a limited number of clients. I’m going to ask you some questions. Once we’ve had a chance to speak about the answers, and if it appears unlikely that we can help you, I’d be happy to refer you to another advisor who can provide you with services that meet your needs.”

Read: 5 ways to avoid the wrong clients

Listen attentively

As advisors, it is important to ask questions, listen attentively, uncover gaps in clients’ financial plans and then motivate clients to action. Pay attention to your listening skills. You shouldn’t be interrupting, speaking too much, or thinking about what you are going to say next instead of listening.

Empathize with your client to understand how they think about their finances. Ask, “Tell me more…” to make sure they aren’t holding important information back. You’ll know you’re a good listener when you uncover timely information that allows you to start solving a problem. The result is building loyalty and reinforcing relationships.

Discovery and re-discovery meetings are small parts of your practice, but they’re important ones. They allow you to fortify existing relationships and get the best possible start in creating new ones.

Read: Money a bigger concern to Canadians than love

Be curious

To ensure you are learning from your client conversations, prepare questions for initial discovery and re-discovery. Divide your questioning into seven categories.

• Values and Ideals – What’s important to her?
• Goals and Objectives – What does she really want?
• Personal Relationships – Who does she care about?
• The Money – What is her current financial health? How has her financial situation changed over time? How comfortable is she with volatility?
• Professional Advisors – Who else does she rely on for advice?
• Advisor Process – How does she want to work together?
• Lifestyle – How does she live?

Read: Keep clients devoted

Here are more suggested questions:

Discovery Category	Discovery Questions	Re-discovery Questions
Values and Ideals	How will you know when you’re successful? What is the one thing that you worry about most regularly?	What’s your top financial concern right now? What’s changed in your life since we last met?
Goals and Objectives	Are you more interested in beating the market or meeting your goals over the next 30 years? Can you tell me what your biggest goals and challenges are?	Do you believe your current plan is supporting the vision you have created for your family?
Personal Relationships	What are your financial obligations to your immediate and extended families? Will your parents be able to take care of themselves if they become ill? Who in your family will help?	How is your family’s health? Has anything changed? Has anyone in your family recently experienced a major life or financial event? Do you expect them to in the near future?
Money	Has anyone in your family ever lost large sums of money? If so, how has this affected your feelings towards money? How would you and your family emotionally handle a significant change in lifestyle?	Are you aware of any major expenses we should plan for over the next few years? (Like a new car, renovations, or special holiday.) Have there been any significant changes in your income since your last review? Your benefits? Pension?
Professional Advisors	Are you meeting with other advisors? If so, what do they say they can do for you? How many advisors have you had in the past? What were your reasons for moving? How often?	Are you working with the same lawyer and accountant? How do you feel about these relationships?
Advisor Process	What would have to happen over the next 3 to 5 years for you to feel like this has been a worthwhile relationship? What can I do for you that no advisor has been able to do for you before? What traits are most important to you in a financial advisor?	What are your expectations of me? Has anything changed? Are there ways you feel that I can be a better advisor? Other than investment returns, what is important to you about our relationship?
Lifestyle	What do you do in your spare time? How often do you travel for leisure? Where do you like to go? Are you insured for travel?	How is your volunteering going? Are you planning any big trips?

Larry Distillio is the director of Financial Advisor Business Management at Mackenzie Investments. He can be reached at ldistilli@mackenzieinvestments.com.