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Back of the Napkin

Director, Strategic Insights Grant Shorten

As I travel across the country, addressing investment professionals at conferences and symposiums, I am routinely reminded of the emotional and psychological bruises inflicted by the economic events of the past two years.

One of the most conspicuous areas of impact is the apparent “loss of identity” that has undermined the conviction and resolve of the investment advisor. It would appear that even the most seasoned professional has been shaken to the core.

Although we have undeniably experienced a period of significant trial and tribulation, I believe these challenges can serve as a powerful mechanism for positive change. With the right strategy in place, we can

proactively take hold of “crisis” and reframe it into a personal mandate to sharpen the elements of mastery in our advisory practice.

The reconditioning retreat

The following five-step exercise is designed to help you take a retreat from the day-to-day pressures of business so you can redefine your “advisory identity” and experience renewed conviction in your advisory practice.

Identity crisisRegaining conviction in your advisory practice

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Step 1: Remove yourself from the noise

Following a prolonged period of stress or trauma, we tend to get caught up in a cycle of “being busy” as we scramble to regain control. Although it may seem counter-intuitive at first, the only way to truly become deeply re-engaged in our mission is to step far enough away from it to gain a fresh perspective. Plan to be away from the office for a minimum of two full days at a quiet, inspiring, offsite location.

Step 2: Evaluate where you are now

Having survived one of the most difficult financial downturns in history, challenge yourself by asking the tough questions, and demanding honesty and full transparency from yourself.

> What’s the overall state of your business practice today?

> Are you operating at optimal efficiency?

> What is your level of clarity around your investment philosophy?

> What is your level of discipline in executing your business plan?

> What is the quality of your client service model?

> What asset-gathering activities are you currently engaged in?

> How inspired are you?

> What is your current level of passion and conviction?

Step 3: Ensure personal congruency

When you engage your life and your business with total personal congruency, all of the internal parts essentially are moving in the same direction. It means that your values are in line with your beliefs, your beliefs are in line with your investment philosophy and all three of those parts are in line with your message. There is no quicker way to become internally “misaligned” than to have your values, beliefs and investment philosophy relentlessly battered and bruised.

Sit down with a notebook and pen, and revisit your deepest values and beliefs. Take the time to make sure you have a crystal clear understanding of what those are for you, today. Remember that values and beliefs are different. Your values are the “what” and your beliefs are the “why.” In other words, the emotional states and outcomes that are most important to you are your values. The reasons they are important to you are your beliefs.

For example, if honesty is one of your values, you might say: “The most important thing to me in a relationship is honesty.” But why is honesty important? The answer must be based on a belief, such as: “Because relationships based on trust last forever!”

Think about your values and beliefs in relation to these questions:

> What do you value most about your role as a trusted advisor?

> What’s important to you about your clients?

> What’s important to you about your team?

> What’s important to you about success, growth and personal development?

> Why are those things important to you?

> Who are you as an investment advisor?

> What is your overarching investment philosophy?

> Why do you believe those things?

> What is your evidence procedure?

Once you have completed this step, you will know who you are, what you believe and why you believe those things. Your evidence procedure will serve as the logical and rational thought process to backup your freshly installed belief system.

For assistance in working through these steps, please speak with your Renaissance Investments representative.

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Step 4: Craft and internalize your messages

Now that you have gained substantial clarity around your values, beliefs and big picture investment philosophy, it’s time to begin crafting and internalizing your messages.

We change brain chemistry by the words that we use, and how we deliver them. There is virtually nothing more important (and more consistently neglected) in our line of work than the internalization of our messages!

Investment advisors who have mastered their communication have done so by dedicating an enormous amount of time and energy to preconceive, preplan, pre-script, rehearse and choreograph their messages.

The objective is to drive your message down into your neurology so that it literally becomes part of you. Once you have merged intimately with your message, you will be able to deliver it with passion and convic-tion — despite distractions, nervousness or external challenges.

Ask yourself:

> What is your 30-second commercial?

> What is your introductory meeting message?

> What is your discovery process message?

> How do you handle the most common questions/objections?

> How do you articulate your investment philosophy?

> How do you ask for the account?

Here’s a tip that works: Rehearse for at least one hour, for every minute of your message. Spend significantly longer on the crafting stage. Record your rehearsals with a video camera or voice recorder to garner a true understanding of your delivery. Treat the camera as your client!

Step 5: Master your physiology

The most effective way to change how we feel and the way we experience life is to change the way we use our bodies. Those who live with passion and conviction on a regular basis use their bodies differently than those who do not.

Our emotional states have a structure to them, and they each operate from a formula. We have the ability to unpack an emotional state, to understand the component parts — put it all back together and then install the state within ourselves. In order to master our physiology, we need to apply sensory awareness throughout the day, and to challenge how we’re sitting, standing, breathing, speaking, moving and behaving.

How would you sit, stand, speak, gesture and behave if you had ultimate passion and conviction? If you adopt the physiology of excellence right now, the experience will build inside you!

Putting it all together

We don’t need to wait for a crisis to strike in order to institute a “conviction conditioning program.” Repeat this exercise quarterly or semi-annually as part of your ongoing regimen. You will find it is of great value whether you are seeking to redefine, rebuild, recapture or simply re-evaluate your advisory identity.

For more information, or to take this exercise further, please speak to your Renaissance Investments representative.