Let’s face it: we’re all getting older.
An estimated five million Canadians were 65 or older in 2011, and Statistics Canada says that number will double in the next 25 years.
The growing population of seniors represents a great opportunity for financial advisors who understand the special issues they face — everything from physical and cognitive impairment to social isolation, abuse and fraud.
Here are some tips for building a senior-friendly practice.
> Be patient
Working with seniors isn’t well suited to every advisor, says Leony deGraaf, an elder planning counselor and president of deGraaf Financial Strategies, a senior-focused practice in Burlington, Ont. It takes patience, because you often have to explain things more slowly and avoid talking numbers.
“Be prepared to listen more than with other clients,” deGraaf says. “Fortunately, I enjoy their stories, which often reveal a lot and help me better understand their needs.”
DeGraaf says a common mistake advisors make is not giving seniors enough time to process information and make decisions.
“This is a relationship, not a transaction-based business,” she says. “Unless you’re willing to get to know the client and her situation, it’s probably not the best market for you.”
> Accommodate the needs of older people
Vision and hearing loss can seriously affect your interactions with elderly clients.
Most older people have vision challenges, so make sure that lobbies, reception areas and offices are well lit. Prepare written agendas in an easy-to-read font, such as Arial, that’s no smaller than 12-point, says Debbie Gilbert, a certified professional consultant on aging who runs Generations, a Toronto-based organization that works with baby boomers and seniors. Black type on white paper provides good contrast and devices such as readers and magnifying glasses are also helpful.
To accommodate the hearing-impaired, do what you can to minimize or eliminate background noise, such as music, traffic and phone conversations elsewhere in the office. Sit facing the client, not beside him, to facilitate lip reading, if necessary. This arrangement also enables the client to see your facial expressions, which provide context. Speak clearly, repeat or paraphrase important points as you make them, and follow up by putting those points in writing.
Provide comfortable furniture that offers good support and is easy to get out of. Firm chairs with arms rests are best, says Gilbert. For those with mobility issues, make sure walkways and entrances are clear and free of safety hazards. Better yet, offer to meet clients in their homes.
> Bring a Buddy
If you’re meeting an older client for the first time, invite him or her to bring a family member or a person who holds power of attorney (POA) with them. This can boost the client’s comfort level, Gilbert says, and allows you to establish a relationship with the other person, which may prove valuable down the road.
Adds deGraaf: “This scenario can help the adult child or POA understand the reasons for the client’s decisions, which may help if the client later becomes incapacitated or incompetent. It can also help facilitate the estate settlement process when the time comes.”
This is the first instalment in a two-part series on serving senior clients. Next: Dealing with capacity and other sensitive issues.