Understanding the Behavior Gap and Reducing Client Churn with Maria Quinn

Orion's The Weighing Machine

In today’s episode, Rusty and Robyn talk with Maria Quinn, national spokesperson and thought leadership ambassador at Vanguard.

Maria provides her expertise in Vanguard’s largest business line by working externally with financial advisors and intermediaries. Before starting her journey with the firm, Maria was involved with non-profit organizations that provide marginalized people with access to education.

Maria talks with Rusty and Robyn about what causes the behavior gap in investing, how human psychology and behavior affect financial success, and how we can use the Advisor Alpha model and the “Three P’s” framework to foster long-term relationships with clients.

"The way we think about planning is having those deep conversations with clients that require a lot of trust. We define their values (what is of greatest importance to them). And then, we find a way to translate them into a goal.” ~ Maria Quinn

Main Takeaways

• With the help of an advisor, a client's chance of achieving financial success is significantly higher. In addition, according to Advisor's Alpha, there are seven key areas improved through best practices, which increases your value up to three percent.
• Behavioral coaching practices should focus on investment management and wealth management to help improve client retention.
• Every investment outcome is heavily driven by psychology and human behavior. Factors like overconfidence, recency bias, and over-competence should be avoided if you want rational and perfectly timed decisions.
• Providing a financial plan is foundational. Use the “Three P’s” framework as a guide. Plan thoughtfully, be proactive, and imbibe positivity.
• Global equity investing has the following benefits: diversification in the portfolio, mitigation of some potential volatility, and increase in portfolio exposure.

Links

• Maria Quinn on LinkedIn
• Vanguard
• George Washington University
• Good News: There’s a Labor Shortage. By David Autor | New York Times
• Nessun Dorma by Luciano Pavarotti
• John Bogle
• Teach for America
• Bain & Company
• Deloitte
• 2021 Value of an Advisor Study | Russell Investments
• Alpha, Beta, and Now...Gamma | Morningstar
• The Value of Gamma-Efficient Portfolio | Morningstar
• The Essential Advisor: Building Value in the Investor-Advisor Relationship by Bill Crager and Jay Hummel
• 2021 Quantitative Analysis of Investor Behavior - Variable Annuities ("QAIB-VA")
• ‘Mind The Gap’ | Morningstar
• Richard Thaler
• Putting a value on your value: Quantifying Advisor's Alpha
• JP Morgan
• Twitter
• Financial Times
• The Economist
• The Wall Street Journal
• TheNew York Times

Connect with our hosts

• Rusty Vanneman
• Robyn Murray

Subscribe and stay in touch

• Apple Podcasts
• Spotify
• Google Podcasts

2651-OPS-10/13/2021