What is premium service from an advisor?
It refers to the heightened level of care, focus, and personalization that advisors provide to their clients. It goes beyond typical advisory services by fostering a high-impact relationship with them and supplying high-calibre expertise and innovative solutions that meet all their personal and family needs, not just those of the client.
Why does it matter to HNW clients and advisors?
- It addresses this clientele’s specific needs. HNW clients typically possess multi-generational wealth and diverse income streams. Due to this complexity, they require a range of specialized expertise and are often willing to pay a premium for professionals who can effectively manage their financial intricacies.
- It delivers the high-quality service HNW investors expect. They seek not only highly customized financial guidance but also exceptional accessibility. For instance, this could involve having a designated team or advisor available for direct communication with clients.
- It allows advisors to distinguish themselves from competitors. HNW clients have many options when it comes to choosing an advisor. With premium service, advisors can showcase their distinct value. This can help to draw in and keep wealthier clients, thus expanding their market presence and reputation.
- It can help advisors grow their business. VIP service fosters long-lasting, mutually beneficial relationships, including exclusive and networking opportunities. Advisors should offer their clients unique investment opportunities like private placements or non-traditional investments, as HNW clients can facilitate connections with other high-net worth individuals.
What are the key ingredients of an attractive HNW service offer?
Advisors offering premium-quality service typically:
Position their business with a full range of services to support investors
To provide a comprehensive approach to this clientele, advisors and their multidisciplinary teams need to collaborate seamlessly. In addition, they must have in-depth expertise in several financial areas, such as tax planning and optimization, estate planning or philanthropy. They also have to address the needs of diverse affluent niches like their clients' families, business owners, newcomers, women or younger generations, all of whom will drive HNW segment growth.
Include alternative investments as a differentiator
Several advisors catering to HNW individuals extend the range of investment opportunities beyond traditional ones. Taking cues from institutional investors like pension funds, they offer non-traditional strategies, such as real assets (e.g., real estate, infrastructure) or alternative investments, which can mitigate volatility while improving portfolio and return diversification.
Create a service model that focuses on personalized and accessible touchpoints
Above all else, HNW clients’ needs come first. That includes allocating more time and resources to research, analysis and client education. It also entails being accessible and quick to respond beyond regular business hours, as well as managing immediate and sophisticated requests.
Demonstrate strong emotional intelligence and resourcefulness
Red carpet service requires advisors to possess robust communication and interpersonal abilities to effectively interact with a variety of personalities, backgrounds and expectations.
Standing apart in the marketplace
For advisors targeting the HNW segment, providing top-tier service is essential. It fosters loyalty and sets them apart in a very competitive market. Successful navigation of the HNW sector relies on tailoring services to individual needs, expanding their service offering or including non-traditional solutions—key strategies to retain and draw in a wealthy clientele.
Source
- Number of high-net-worth individuals in Canada (July 2024)
Learn more
- Grow your business with HNW clients
- Take our free “Advising high-net-worth (HNW) Canadians” online training and earn 1 CE Credit/PDU. For more information, contact your NBI Sales Representative.