Dealing with conflicts between members of a couple is part of the job most financial planners talk about or are trained to deal with, but the Board of Standards for Certified Financial Planners has expanded its curriculum to include financial psychology. The inclusion of science may change that.
Indeed, a new guidebook, “The Psychology of Financial Planning,” produced by the CFP Standards Board and ThinkAdvisor’s parent company, National Underwriter/ALM (April 2022), explores the causes of financial disputes and financial intermediation. Contains an extension section. marital dispute.
eMoney Advisor experts also explore the topic in a new online resource, “Frank Conversations: Couples, Money, and Conflict,” published on the company’s website.
According to the CFP Board’s new curriculum and the eMoney report, there are many reasons advisers should improve their conflict management skills, especially as it relates to serving couples trying to develop and execute long-term financial plans. there is.
As eMoney survey data shows, more than 4 in 10 investors say that “a willingness to discuss difficult topics and life events with me and try to solve them” is an important part of financial planning. It is said that
At the same time, 3 in 10 next-generation clients (ages 30-45) describe their ideal advisor as a “life coach.” Sadly, 41% of divorced Gen Xers and 29% of Baby Boomer girlfriends said their marriages ended because of fights, especially over money.
These statistics show that the majority (80%) of advisors surveyed by eMoney believe financial These are just some of the reasons why we agree that applying psychology can benefit the planning process. Reduce client anxiety.
Ultimately, experts agree that deeper emotional intelligence and sophisticated dispute resolution skills could be critical to the work of today’s financial planners.
See the slideshow for an overview of eight tips for advisors looking to incorporate more psychological know-how into their practice, drawn from a new publication by the CFP Board and eMoney.
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