What you can not measure in a good wallet

Morningstar identifies three essential elements for the mental and financial well-being of your customers.


An investor can be really calm only if his financial plan is on track, no matter how much his money is invested, as long as it fits his strategy. For example, it allows them to accept volatility without losing sleep. The client then knows that his portfolio has reached its optimal balance.


Instead of always aiming for more, the investor must know how to recognize when he has earned enough. Just as one should not eat without end, nor should one try to accumulate without end. In the financial realm, this would mean increasing risk beyond what the objectives call for. This means that we have to know how to return to what is enough to have a good quality of life. We must put quality of life before greed.


How much energy and time is the investor willing to spend on their investment portfolio? The answer is different for each of your customers. Some will want to keep it very simple, while others will be interested in learning more about financial products and strategies. The definition of simplicity also varies according to the age and personal situation of the investor: he might want to spend time in a period of his life, before he wants to take advantage of his personal time for other areas.

These hard-to-quantify factors are very different for each customer, and they change over time. The role of the adviser, beyond the considerations of risk and return, is to know how to stay attentive to the deep expectations of his client, and their evolution over the years.

Leave a Comment

Your email address will not be published. Required fields are marked *