- Businesses are now more trusted than the government.
- Financial advisors face a unique opportunity to rehabilitate a reputation damaged in past financial crises by becoming a valuable resource for investors and savers facing today's challenges.
- Here are five ways advisors can become the "go-to" planning resource for customers.
Marko Geber | DigitalVision | Getty Images
In a world that's rapidly changing and becoming more uncertain than ever, the financial advisory industry has a great opportunity to become a beacon of trust for investors by helping them navigate through difficult life and financial decisions.
The Covid-19 pandemic, combined with the social and economic shifts over the past few years, has impacted every aspect of life and shifted consumers' expectations of business. In fact, businesses are now more trusted than the government, and there is a new mandate for business leaders to take action on critical societal issues, according to the recent Edelman trust survey.
Further, the pandemic led to a serious evaluation of life priorities, causing many to change careers, relocate, leave the corporate life altogether or opt for early retirement.
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In many respects, these critical life changes, combined with increased uncertainty and volatility in the economic environment, have fueled a renewed need for financial advice.
Business is booming for financial advisors, as new clients pour in, seeking not just financial advice but also a trusted advisor on critical life decisions. The opportunity for the financial services industry to regain the trust lost during the financial crisis and establish the financial advice profession as both a valued source of information and guidance for investors, as well as a career of choice for future generations, has never been greater.
Yet capitalizing on this opportunity to build long-term trust will require firms taking deliberate steps toward deepening client relationships now to help guide them through the most critical life decisions and help them build financially secure futures.