How to Prove the ROI of Holistic Financial Planning

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The biggest movement is toward holistic financial planning, where advisors have their hands in everything from estate planning, tax planning to saving for a vacation – and, let’s not forget, investing. With competition from robos and a race to the bottom with investment management fees, more wealth managers are looking to holistic planning to set themselves apart.

The next generation of advisors – and clients – will be adamant about the importance of holistic advice, so it’s not slowing down anytime soon.

That presents a challenge: how to quantify the value of our advice across the board. We can quantify the value of investing, but our tools are not aligned with the shifting advisor value proposition.

You might be saying, “Holistic relationships cover a much broader area of services. Why should I have to quantify anything when I’m clearly doing so much more than non-holistic advisors?”

I agree – as an advisor. After all, most of these additional services used to be reserved only for the most affluent of clientele, and now you’re supposed to prove why it’s valuable.

But think about it from the clients’ perspective. They’re coming to us to make the most of their money. That’s why they came to us 20 years ago, that’s why they’re coming to us today. Just because we’re doing more doesn’t change what we’re delivering – planning and investing services. Why should they pay for our services rather than just do it themselves?