advisor working from home in front of two computer screens

Retirement-focused advisors have faced a steady evolution in their day-to-day work over the last several years that has challenged their approach to doing business and working with clients. But no change has been as drastic as what we are seeing in the current environment. We've seen a swift transition nearly overnight to a virtual practice, working from home and generally navigating the many uncertainties surrounding a global pandemic.

I have spent the last 10 years observing and working closely with a number of excellent retirement plan advisors, and the best practices I've gathered during this time are more relevant now than ever before.

1. Be a specialist — or find someone who is — and share that knowledge in value-added ways for your clients. Advisors working with retirement plans should be aware of basic qualified plan concepts and be able to speak comfortably on fiduciary roles and common administrative topics. However, if – and when – things get more complicated, ensure there is someone on your team you can tap for expert advice or build a relationship with a provider that can help you navigate more complex areas.

Expert-level knowledge of qualified plans is even more important in the midst of our current crisis, with so many things happening that impact retirement plans.

Did the furloughing of employees possibly result in a partial plan termination? For employees who are drawing Families First Coronavirus Response Act sick pay, do retirement plan deferrals come out of that?

Or a client can't afford their safe harbor contribution with their doors closed, so what now? That qualified plan expert on your team needs to be well-versed in the CARES Act provisions and how your providers are applying them.

Plan sponsors are focused on running their business, fielding employee concerns, setting up telecommute strategies, and much more. It's your role as the plan advisor to make sure your clients are well informed on the new options and features presented with this new legislation.

If you haven't set up calls with your providers or TPA partners to understand how they're applying provisions, do that now. This should be followed up with calls to each of your clients to ensure they understand the provisions and how these might apply to their workforce.

Add value by answering the questions your clients haven't asked yet. The internal sales or service contact at your preferred provider can become one of the most valuable members of your team.

2. Be a cheerleader for employees and they'll cheer for you. Financial advisors must work increasingly hard to illustrate their value proposition in an industry that's becoming more and more digital. Advisors can also find their strength as an employee advocate, encouraging plan sponsors to think beyond costs and investments to prioritizing retirement outcomes.

In times of market volatility, if you've implemented an outcomes-based retirement plan with your clients, the employee conversations are typically simpler to navigate. Proactive outreach should be focused on those employees closest to retirement. Let them know you're there for them and although their account balance may be taking a tumble, the strategies governing their accounts were built for this.

For employees without proper asset allocation, now is the time to have those discussions about a strategy to move toward appropriate allocation once markets stabilize.

Introduce a plan that shows employees how they're going to retire successfully and give them strategies to get there if they're currently falling short. Engaging the employees illustrates your value and being there for them in tough times is what your clients will remember most.

3. Follow-through is the name of the game. One of the most common things I hear from clients who are unhappy with their advisor is, "My advisor said they'd do 'X' but I haven't heard back."

There is an argument that now, more than ever before, the lines of communication between an advisor and a client need to be wide open. With no option for face-to-face meetings, it is that much more vital for advisors to stay in touch, show consistency and let clients know how they are helping them.

It can be easy to drop the ball on delivering for clients during these chaotic times, but this is when an advisor's worth is truly being tested. Accordingly, go above and beyond to illustrate your value in new ways on a daily basis.

My advice is to follow up every discussion with an emailed list of action items so there's no ambiguity. Outline follow-up items and homework assignments for your client or other partners (CPA, TPA, etc.). Then, execute what you said you were going to do in a timely manner and provide updates if the time frame will be extended.

Every client should feel like they are your top priority, especially now when panic and stress levels are so high. In today's environment, technology is always at our fingertips, so prompt communication and follow-through have become expectations critical to client satisfaction.

To be sure, the pandemic is posing increased challenges for all of us, but there are also lessons to be learned and tech advances to be embraced that can help make you a better advisor in the long run.

Stephanie Lester, MBA, QPFC, is the Director of Client Consulting for Unified Trust Company. Stephanie has 13 years of industry experience and in her current role, she is responsible for developing and leading the execution of strategic business initiatives including client service, plan conversions and client retention. Stephanie works closely with independent retirement plan advisors and plan sponsors by consulting on fiduciary, investment and operational issues relating to Unified Trust's qualified plan services.

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3 vital best practices for retirement plan advisors navigating uncertain times

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