Bowen, founder and CEO of CEG Worldwide, previously worked as a financial advisor and firm executive. He served successively as CEO of Reinhardt Werba Bowen Advisory Services and Assante Capital Management.

Ten for 2010

Although we tend to use the word "amazing" to suggest something positive, technically it means "causing great wonder or surprise." By that definition, 2009 was a truly amazing year. The events of the past 12 months clearly tell us that the world has changed. We have seen history in the making—and it's safe to say that the financial services industry we knew in the past is not the industry we will be getting to know in the future. The good news is that there are many things you can do to make that future bright for your practice.

Although 2009 had its share of shocking developments, times like these aren't new. More important, they always bring about a shift in the way companies do business and how they deliver value to their clients. We're in the midst of that shift right now in the advisory business, and in the end there will be big winners—and big losers. That might sound scary, but it is exciting news for those advisors willing to adapt and rise to the occasion.

In fact, as we close out this year, I've been emphasizing to advisors that they've never had a better opportunity to grow their practices. The reason: Long-standing loyalties have been shattered as clients lose confidence in their current advisors. The number of affluent investors potentially in transition at the moment is huge: Research shows that four out of five investors with more than $1 million in investable assets have considered switching advisors during the downturn. This creates an unprecedented opportunity for you to win new clients who might have completely ignored you a year or two ago.

That said, just as the industry dynamics have changed, so too have the keys to your future success. Many advisors are comfortable offering high-quality investment products. But virtually every portfolio lost significant value during the market downturn, and the affluent no longer see these offerings as real differentiators-not even after the market's recent run-up. Excellent investment products alone are no longer sufficient.

What the affluent want most are relationships with their advisors that put their concerns, goals and dreams at the center. They want a higher level of service, a deeper level of commitment and a client-intimate relationship. They want you to understand them and then work collaboratively with them to address all their financial challenges. To earn the trust and the assets of affluent investors going forward, you must deliver business practices that put them at the center.

The upshot: As you head into 2010, you need a clear road map, realistic goals, proven business practices that address the needs of the affluent and the focus to implement those practices. With that in mind, here are five steps that you can take right away, followed by five more that will help you position your practice for long-term success.

Five Moves For Now
This is no time to sit around waiting for clear signs that everything is better. You need to take action today by starting with these five steps:

1. Commit to change. Agree to make the changes necessary to take advantage of today's opportunities. The market has changed. For you to be successful, your business practices must change with it.

2. Conduct rediscovery meetings. Far too many advisors tried to avoid their clients this year. But the best among you scheduled rediscovery meetings with your top clients to profile them on a deep level. Taking this step will reassure your clients that you understand them, as well as keep them from heading to your competitors. Offer to provide a second-opinion service to their business associates, friends and family. Let them know how much the current environment is affecting everyone. Share with them that 80% of investors are looking to switch advisors and you are more than happy to provide the people they care about with a "second opinion" to make sure they are making smart decisions with their money.

3. Follow up with referrals. Schedule appointments, conduct second-opinion analyses and demonstrate your client-centered experience by conducting discovery meetings for each prospect. Most affluent investors have never encountered this level of service, and it makes it comfortable for them to transfer assets to you because they know you understand their unique needs. Many advisors we work with have seen substantial increases in assets under management in a short period of time simply by taking this one step.

4. Conduct center of influence interviews. Identify 10 individuals who have a high degree of influence in your target market—the movers and shakers. Interview them and create a list of their top concerns and the themes and challenges you heard from them. These interviews will give you insights about your market or niche that you didn't have before. This will empower you to uncover new approaches, identify new opportunities, and gain new access to prospects.

5. Develop strategic alliances. Our research clearly shows that more than 50% of referrals with $1 million or more in assets come from other professionals. So set up meetings with CPAs, attorneys and other professional advisors who serve your target market. Fully define your value proposition and your approach prior to each meeting, so these professionals understand how you can help them achieve their business goals while serving their clients well.

Five Moves For Later
Actions with short-term impact are important, but you also can't take your eye off the long-term, sustainable success of your business. These five strategies will get you on the path to building the practice of your dreams:

1. Develop clarity of purpose. Financial advisors are often so busy serving clients that they don't take the time to think about where they want to take their businesses. To be successful, you must ask yourself a few key questions: Why are you doing what you do? Why are you in business? What is important about your business success to you?

The most common response—to make a lot of money—only scratches the surface. Getting at the deep-seated "why" behind what you do will shape your clarity of purpose and draw you confidently forward as you build the practice you've always wanted.

2. Develop focus. It's critical to focus your business on only those clients who are financially and personally right for you to serve. What type of practice do you have? What type of practice do your clients need? How should you change your value proposition to attract and serve your ideal clients most effectively? Your answers to these questions will help you develop your focus and determine the direction you set for your team.

3. Get buy-in. Knowledge without motivation to act won't do you much good. So you must work with your team to inspire them to achieve your desired results. Always remember that team members need to feel involved and know that their work really matters. Gaining buy-in requires you to inspire your team, build trust, embed the right values, and reinforce the right behavior.

4. Execute effectively. All the planning and commitment in the world won't matter if you don't give your team the ability to execute. Deadlines must be met, goals must be achieved, and you and your team must hold each other accountable for turning your vision into reality. This means you must create and deliver compelling value to clients and prospects, bring together the right team members, develop your team members, and monitor your results.

5. Walk the talk. As a financial advisor, you are judged by your actions more than by any other factor. That's why setting a personal example is the most powerful thing you can do to build an elite business. Walking the talk means holding yourself to the same high standards that you have set for your team. Financial advisors who walk the talk develop tremendous credibility with their clients, team members, prospects and other professionals.

Remember that your clients depend on you to help them make the smartest possible decisions about their entire financial lives—not just their investments. And if you have employees, they're counting on you to help them grow and develop professionally. And of course, you're counting on yourself to grow (and, very possibly, rebuild) your practice. By taking key steps now while starting to put long-term strategies into motion, you will help ensure the best of all worlds for everyone involved in your business.

Reprinted from: Financial Planning