Broker Check

Coaching vs. Planning

Financial coaching focuses on the person vs. just the portfolio. Anyone who has seen the movie The Horse Whisperer with Robert Redford may recall a scene where he answers the phone and the lady says, “I understand you work with people with horse problems” and his reply, “No ma’am, I work with horses with people problems”. In coaching we work with portfolios that have people problems.

Coaching is much different than traditional financial planning or advising. It is deep rooted in the belief that the problems all investors have to realizing long-term investment success are due to two primary factors:

A lack of truly understanding how markets work and how academic science can enable any investor to maximize their expected rate of return for their given level of risk. This is knowledge Wall Street would prefer you to not know.

Our own human behavior allows our instincts, emotions and perceptions to run wild, especially as a result of the media’s influence. Only through coaching does an investor have the ability to remain disciplined and avoid negative investment activities that can preserve and protect their financial future.

Coaches provide ongoing education, support and encouragement. Financial coaching empowers investors to have a clearly defined investment philosophy, strategy and enables clients to maintain a disciplined approach to achieving their life’s dreams.

Ask someone their philosophy on religion, business or politics and they are usually very quick and clear on exactly where they stand, but if you ask the same question about their financial philosophy it is usually random and vague. As a coach, we can clearly articulate our investment philosophy and know the rules we need to abide by to practice that philosophy. We know when dieting the rules are to eat less and exercise more, that’s the easy part. It’s following those rules and maintaining the discipline necessary to stay the course that is hard. Our role as a coach is to make you aware of the rules of investing and educate you as to why they are essential to long term success and to make the hard part of investing easy.

To assess your current level of financial competence, please click on the web-link below and take our 20 Must Answer Questions Quiz. We teach our clients how to answer each of these questions as we believe they are essential towards achieving financial confidence. Good luck and we look forward to your call.