Who can you trust in a crisis? In my experience, trust accrues over time and usually traces back to a couple factors: reliability and willingness to tell clients the truth even if it’s “tough medicine.”
In this environment, advisors who “sugar coat” the truth aren’t providing real value. Integrity fosters trust.
The single most important aspect of financial planning, behavioral guidance, requires trust in order to be effective. Trust requires a realistic plan not based upon possibilities, but probabilities.
Studies have shown that investors with a trusted advisory relationship are much more likely to stay with their plan and investments in times of market stress versus those without a trusted advisor.
Think about the commonalities among those that you trust, maybe your family physician, your minister or priest, your best friend. Usually these people know you well and can provide good guidance even if it’s what you don’t want to hear.
Trust creates space where your feelings about something can adjust to truth. Be careful who you trust with your financial future.
We are here if you want to talk. Please stay well!