A hand putting a coin into a jar full of coins.

Building engagement
with financial literacy

We’ve spent our lives laying a foundation of skills and knowledge through real-world experiences and academia. Why isn’t financial literacy typically considered one of the basic building blocks of life?

Millions of Americans have never learned basic financial skills, and with the rising trends of e-commerce and mobile banking, many will have minor involvement with physical currency in the future.

April is Financial Literacy Month, which gives us all good reason to brush up on our own financial literacy knowledge. Empower your expertise by finding ways to engage your clients and their children on these vital skills for their financial future!

The importance of promoting financial literacy

  1. ADVISOR-CLIENT ENGAGEMENT

    Achieving one’s financial goals should be more than a one-sided conversation with an advisor. While the internet has made it easier for your clients to be more engaged in the process, some still lack a basic level of financial literacy required to understand various financial products.
     

    Do they comprehend the fundamental benefits of life insurance? Do they know what annuities are or appreciate why retirees consider them? Do they have the risk appetite for equity markets?
     

    Your client’s comfort level and understanding of basic financial literary concepts will not only make your conversations more collaborative, but also increase client engagement and overall satisfaction. As their advisor, it is your job to educate them and encourage open communication. Help them achieve their goals in a way that makes sense for them.

  2. DEEPER RELATIONSHIPS AND REFERRALS  

    Client referrals are the cornerstone of growth in the financial advisory business and a goal for any advisor. Sharing with your clients the tools and resources they need to start a dialogue with their family members, including their children, will help build your trust and role with the next generation.
     

Best practices to engage your relationships

  1. BE A RESOURCE FOR FINANCIAL LITERACY INFORMATION

    Clients may leave your office with folders full of information about their plans and what they can expect from their relationship with you, but why stop there? Become their one-stop financial literacy shop!
  2. REACH THEM WHERE THEY SPEND TIME

    Social media can be a good opportunity to present yourself as a financial literacy thought leader. This medium provides you with an opportunity to communicate with your clients, their children and their acquaintances, helping promote your value proposition.
     

    Financial literacy is an important tool that can help your clients become more confident, engaged and successful in their financial planning. Furthermore, it can pay dividends for your business by helping you promote your brand and expertise to future clients.

     

Want more tips and strategies? 
Leverage our resources to encourage financial literacy basics, as well as position, grow and market your practice.