A financial advisor with over 30 years of experience, Chuck Roberts is a Managing Director/Investments at Stifel and a member of Stifel’s Chairman’s Council. Since 2016, he has led The CR Wealth Management Group, a nine-member team within Stifel with offices in New York City and Miami Beach. Mr. Roberts and his team specialize in serving ultra-affluent individuals, business owners, families, corporations, pension plans, endowments, foundations, and non-profit organizations. Their focus on objectivity, simplicity, and exceptional personal service has helped them build long-standing relationships with their clients. With decades of experience managing complex financial situations, Roberts offers valuable insights into conflict resolution strategies tailored for high-net-worth clients.
Valuable Conflict Resolution Techniques for High-Net-Worth Clients
Occasionally, conflicts arise with financial clients—whether due to oversights, miscommunications, or differences of opinion. These conflicts take on an added level of consequence when they occur with high-net-worth clients, who tend to be valuable accounts that financial advisors would do well not to lose. That being said, high-net-worth clients can also be a bit more high-maintenance than the average client, often possessing specific preferences, strong opinions, and an expectation of higher standards in just about everything—including their financial services providers. So, while it is even more important to avoid conflicts with clients of high net worth, there is also an elevated risk of them occurring.
Taking all of that into consideration, it is essential to have a variety of conflict resolution techniques in your toolkit so that you will be ready when the inevitable conflict eventually arises. By preparing ahead of time and being equipped with effective strategies, high-end financial advisors will not only be able to quickly and painlessly work their way through conflicts, but also less likely to allow them to arise at all.
Planning Ahead
The best conflict resolution outcomes result from planning ahead and being prepared to navigate crises of this nature. No one wants to upset their clients, but there are inevitably going to be times when they are unhappy, so it is better to have a plan in place before that happens, rather than having to respond reactively (which can often lead to errors in judgment and behavior that appears defensive).
Planning ahead might involve taking conflict resolution classes, as well as having a conflict resolution coach or negotiation coach available to consult when necessary. Other valuable strategies for planning ahead include having conciliatory perks available ahead of time, so that clients can be responded to and placated quickly and efficiently. However, the most important way to prepare is to build flexibility into the organization’s structure and protocols, so that changes can be made when necessary, without interfering with the organization’s management.
Anticipating Potential Conflicts
The most effective victories are won before the battle even begins, and that holds true in the world of high-stakes finance. By anticipating potential flashpoints before they arise, financial advisors can prevent conflicts from occurring—which is the most effective way to keep clients happy. This includes getting to know clients personally and customizing services to their specific personalities and preferences—a strategy that will help to keep them satisfied rather than looking for something to complain about. It also involves checking in with clients regularly and seeking constructive criticism/feedback, so that any problem areas can be identified and dealt with proactively.
Acknowledging Clients’ Concerns and Feelings
When a conflict arises because a high-end client is unhappy, the last thing an advisor wants to do is come across as argumentative or defensive. This is the fastest way to lose an unhappy client. Instead, it is important to acknowledge their concerns and feelings. By communicating to clients that they understand their frustrations, advisors are validating their feelings and making them feel heard. This helps to break down their emotional armor and makes the clients more open to negotiation, placation, and resolution.
Finding Creative Solutions
High-net-worth clients aren’t as easy to appease as your typical client, which means that when it comes time to making things right and convincing them to stay, advisors need to be prepared to roll out the red carpet. Nothing appeals to high-end clients like personalized care, so it pays to put some thought and effort into finding creative solutions that are customized not only to the situation but also to the actual person being dealt with. By crafting bespoke solutions that are geared specifically to the client in question, one can communicate to them that they are valued not only as an account but as a person.
Following Through Once a Resolution Has Been Found
Conflict resolution doesn’t end once the proverbial fire has been put out—it requires ongoing care to help rebuild the trust that has been lost through the conflict in the first place. This means following up and following through, even after things have settled down. We can’t emphasize enough how much high-end clients appreciate personalized service. They don’t want to simply be treated like a source of revenue but rather want to feel like they are the main priority. This means following up at regular intervals to ensure that things have been resolved to their satisfaction, and that there are no further frustrations that may lead to more conflicts in the future.
Applying What You Have Learned
As with everything in life, the best way to improve one’s interactions with clients is to learn from mistakes. Each conflict comes with its own set of lessons, whether it is caused by a failure to provide adequate service, a breakdown in communication, or even a misunderstanding on the part of the client that had nothing to do with the actual advisor and their behavior. There are always better, more effective ways to ensure that clients’ needs are being properly met—and that they are aware they are being met—and recognizing these lessons rather than reacting defensively or grumbling about the inconvenience of having to deal with unhappy clients is the best way to ensure that further conflicts don’t occur in the future.
With the expertise of seasoned financial professionals like Chuck Roberts, advisors can navigate these conflicts more effectively, ensuring high-net-worth clients receive the level of service and responsiveness they expect while strengthening long-term relationships.
