What Good Planners Need to Do in the Digital Age

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The future of finance is a mixture of robo advice and human advice, according to Charles Schwab’s 2018 Consumer Digital Demands survey.

Forty-five percent of those surveyed said they believe robo-advisers will have the biggest impact on the future of finance. The survey also found that Americans say financial planning is as hard as training for a marathon.

Clients will use technology, but they still need you to help them “train” in this digital age.

The Forbes article, “What You Should Expect from Your Financial Advisor in The Digital Age,” gave consumers tips on what their advisers should do for them when it comes to technology. It boils down to this: simplify their understanding of money by using and better explaining tech tools. If your clients are reading articles like the one in Forbes, they may expect you to provide the following:

Tech tools that easily do it all and have fewer steps. The Forbes article noted that advisers should offer technology that allows clients to check portfolios and their savings and checking accounts all in one spot.

Customizable technology. The Forbes article noted that clients should be able to customize their experience. “Don’t merely expect the proper customization—demand it,” wrote Forbes author Alex Chalekian, founder and CEO of Lake Avenue Financial.

A view of the big picture. Clients in the digital age will expect a picture of their total net worth and their progress toward retirement. This ties into having all their information, including all retirement, savings and checking information, easily accessible on a one-stop piece of technology.

Education on how to use the technology. Clients will expect you to show them how to use the software you provide. Take the time to ensure they understand how to use it and all the ins and outs and extra features.

“What a great adviser will do is use technology to be more connected to your life, to be able to comprehensively simplify your financial life and then interact at your convenience when you’re ready,” Joe Duran, founder and CEO of United Capital said in the CNBC article, “Here’s Why Robo-Advisors Won’t Replace Human Financial Advisors.”

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Ana Trujillo Limón is senior editor of the Journal of Financial Planning and the editor of the FPA Practice Management Blog. Email her at alimon@onefpa.org. Follow her on Twitter at @AnaT_Edits.

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