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Written by: Erin Botsford, CFP®
Most financial advisors struggle with prospecting—not because they lack effort but because they’re going after the wrong people, using the wrong strategies, or leading with the wrong message. If you want to attract high-net-worth clients and grow a business that serves you, it’s time to prospect with purpose.
1. Understand the Psychology of Your Prospects
Prospects don’t make financial decisions based purely on logic—they’re driven by fear and confidence. Some people lack confidence and are looking for guidance, while others are overconfident and resistant to outside advice.
The key is knowing where your prospect falls on the confidence spectrum and adjusting your approach accordingly.
- Who to avoid: DIY investors who take your advice and implement it themselves—they’ll waste your time and blame you when things go wrong.
- Who to target: Successful professionals and business owners confident in their ability to earn money but not in managing or investing it for long-term security.
2. Define Your Ideal Prospect—Then Go Find Them
What is the biggest mistake advisors make? Thinking anyone with money is a potential client.
Not all clients are worth your time. If you don’t define your ideal client, you’ll end up with too many clients who drain your time, energy, and resources without delivering enough revenue.
Your best prospects are people in transition, job changers, business owners selling their companies, widows/widowers, divorcees, or those who’ve inherited wealth. Transitions create urgency, which means they’re actively looking for solutions.
3. Don’t Lead with Investments—Lead with Their Problems
Too many advisors start their pitch by talking about investment performance. Bad move. Clients aren’t looking to buy an investment portfolio, they’re looking to solve a problem.
Instead of showing off your firm’s returns or talking about asset allocation, start by uncovering their real concerns:
- “How do I replace my paycheck when I retire?”
- “How do I make sure my family is taken care of if something happens to me?”
- “How do I minimize taxes on my investments?”
When you position yourself as the solution to their specific concerns, you stand out from every other advisor who’s just pushing another investment strategy.
4. Master the Art of Selling—Because Your Services Are Sold, Not Bought
No matter how many awards you win or how great your firm is, clients won’t just walk through your door. Financial services are sold, not bought. That means prospecting isn’t optional; it’s the foundation of your success.
Many advisors believe that clients will come knocking if they just build their reputation. That’s a myth. Even the best advisors have to continually prospect, build relationships, and close deals.
5. Are You a Hunter or a Closer? Know Your Strengths
There are two key skill sets in prospecting:
- Hunters find and bring in new prospects; they’re the rainmakers who generate new business.
- Closers convert prospects into clients by addressing concerns, overcoming objections, and getting the final “yes.”
If you’re great at one but struggle with the other, build a team that complements your strengths. If you’re a natural closer but hate prospecting, hire or partner with someone who thrives on networking and lead generation.
Final Thought: Prospecting Is About Precision, Not Volume
Too many advisors waste time chasing anyone who will meet with them. The right way to prospect is strategic, intentional, and focused on the right people.
- Target successful individuals in transition.
- Lead with their problems, not your investment process.
- Accept that your services need to be sold—and get better at selling.
- Identify whether you're a hunter, a closer, or both—and build accordingly.
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