How Advisors Can Make a Difference for Aging Clients

Additionally, it is an advisor’s responsibility to immediately connect with a client’s spouse or designated “trusted contact” upon observing signs of declining mental capacity. While they might already be aware, family members often fail to fully comprehend the seriousness of the situation due to how close they are to the individual. 

Signs to watch for include repetitive questioning, hesitation in decision-making, trouble articulating thoughts and unusual impulsiveness. This should signal the spouse or designated “trusted contact” to begin gathering passwords and essential documents to prevent potential loss or tampering.

Addressing Family Dynamics

Navigating animosity among family members following the passing of a loved one can pose challenges for advisors, but the most important thing to remember is the fiduciary duty to each client. Even in the event of clients’ passing, ensuring the respectful execution of their wishes remains the advisor’s responsibility. Maintaining transparent communication with all family members involved serves to dispel any uncertainty regarding a client’s intentions. 

Additionally, having likely developed a longstanding relationship with the family and personally remembering when they were a cohesive unit, advisors can urge them to prioritize mutual respect, communication and collaboration. This is essential not only in the immediate aftermath but also for the preservation of their long-term relationships following a client’s passing.

Implementing Internal Training

Navigating end-of-life issues with clients and their families requires a high level of sensitivity and empathy. Implementing an internal firm training program helps ensure that advisors are equipped with the skills needed to handle these delicate conversations with utmost care, compassion and strategy. Remember, pre-death planning often involves complex legal and regulatory considerations touching on estate planning, health care directives and beneficiary designations.

Through comprehensive training, each advisor gains a deep understanding about relevant laws and regulations and can provide accurate guidance to clients with confidence and expertise. 

There are many ways for financial advisors to serve aging clients, and their families, during this painful and stressful stage of life. However, the fundamental principle to bear in mind is to approach every interaction with empathy, sensitivity and respect.

Nick Kochanski is a managing director, chief financial officer and senior client advisor of Crescent Grove Advisors, an employee-owned boutique wealth management firm serving ultra-high-net-worth individuals and families, as well as institutions, foundations and endowments.