By Wayne Miller
Worried about the effects of the COVID-19 pandemic on your finances? Here’s how a trusted advisor can help you
For many people in Canada and elsewhere, the COVID-19 pandemic creates excellent financial uncertainty. Do you have an advisor? You probably expect him to reassure you. Don’t have an advisor? You might want to find one that inspires confidence in you.
The advisers are not epidemiologists or futurologists. They cannot predict market variations. On the other hand, they know how to help people manage their finances in different situations.
Coronavirus (COVID-19) and your savings plan: what to do?
Your advisor may have called you to ask how you were doing. He told you he was there for you. He reminded you to talk to him if a change happened in your life. He offered to work out a plan with you, etc. It’s reassuring to know that people care, but an advisor can do even more for you.
Are you in a difficult situation? An advisor can help you.
Difficult situations can take different forms:
Financial crisis: Are you afraid of your finances because of a layoff or the economic downturn?
Social crisis: Do you have to work from home while caring for your children who cannot go to school or daycare? Do you feel isolation or anxiety due to social distancing measures?
Health crisis: Are your medical treatments, or those of a family member, being delayed due to the problem? Have you or someone close to you been diagnosed with COVID-19?
Part 1: Does the advisor inspire confidence in you personally?
He honestly gives you his opinion.
He tells you things about his personal life.
He takes the time to understand how you are feeling full.
He shows concern and compassion for you.
He listens more than he speaks.
He asks you difficult questions and can handle complex or sensitive issues.
It captures what you are feeling beyond words and empathizes with.
He expects nothing in return.
Total: ____/8
Part 2: Do you have procedural confidence in the counsellor?
He keeps his word.
He is constant and responsible.
He admits his mistakes and corrects the shot if necessary.
He is punctual and values your time.
He only commits if he has the time, resources and expertise necessary to implement it adequately.
He responds within an acceptable time frame.
Total: _____/6
Part 3: Does the advisor inspire you with professional confidence?
It details the fees and costs of the products, solutions and services it offers.
They state their professional credentials (e.g., in their email signature or website).
He explains the meaning of his professional titles and licenses.
It makes available customer testimonials with their references.
He admits it and directs you to a relevant contact if he doesn’t know something.
He takes the time to explain complex ideas, strategies and products in simple terms.
Total: _____/6
Add up the points and see where the advisor falls on the trust scale.
