Financial advisors across the country are finding themselves in a unique position leading up to the presidential election. With clients feeling anxious and uncertain about the future, advisors are stepping up to provide support and guidance. Margaret Wright from Truist Financial in Atlanta emphasizes the importance of being an unemotional voice of reason for clients. Spuds Powell from Kayne Anderson Rudnick in California believes in-person meetings are essential during times of heightened nervousness.
While personal relationships are not typically a key aspect of a wealth manager’s job description, advisors are finding that connecting with clients on a personal level is crucial. Melissa Weisz from Corient expresses the importance of acknowledging clients’ feelings and concerns, regardless of their political views. Craig Findley from Venture Visionary Partners reassures nervous clients by pointing out the historical data that show market performance does not drastically change based on the political party in office.
Despite the potential for political discussions to become heated, advisors are finding ways to navigate these conversations with their clients. Joel Bird from Ameriprise prefers to steer clear of discussing politics and religion to maintain a professional relationship with his clients. However, some advisors, like Powell from Kayne Anderson Rudnick, embrace these discussions and find ways to respectfully engage with clients who may have differing opinions.
As the election approaches, advisors are encouraging clients to remain patient and avoid making significant portfolio adjustments until after the election results are known. However, some investors have already taken action, with one in five making changes to their portfolios ahead of the election. Some clients are holding onto cash to deploy post-election, while others are engaging in tax-loss harvesting in anticipation of potential tax increases in the future.
Despite the uncertainty and volatility in the markets, advisors are working diligently to provide support and guidance to their clients. While staying informed about political developments is important, advisors like Wright and Bird emphasize the need to focus on the fundamentals of investing and maintain a long-term perspective. By fostering strong relationships with their clients and offering sound financial advice, advisors aim to help navigate uncertain times and provide stability and reassurance during turbulent market conditions.
