Straight talk on the designation debate

In my dealings with clients, the topic of “designations” doesn’t come up too often. Clients and prospective clients want to know, first and foremost, that you are acting in their best interests and not your own. Being Series 65 registered on the investment side in a fiduciary capacity goes a long way in helping them understand that difference.

-          Curt Knotick

Obviously, since I don’t have any designations, you might believe I haven’t felt a need for them. Actually, I’ve wondered if I should get the ChFC so I could display it and clients might feel more comfortable with my expertise. The reality is I’ve been so busy working with clients and training planners that my studies had to be more focused on the information and skills I needed to get the job done on their behalf. Much like Harry Truman, I’m a self-taught financial planner and read voraciously to better myself, but have not taken the classes formally. I target what I want to learn and am confident in my abilities.

Over the last 20 years I can count on one hand the times a prospect has asked me about my designations. I think it’s largely because they’ve come to my seminars and workshops, received my bio, listened to my planning concepts and felt comfortable with my expertise. It’s also highly probable that, because the bulk of my business comes through referrals, especially now, that prospects are convinced by the planning I’ve done for their friends and the long-term nature of the relationships I’ve had with my clients, that they haven’t needed to see any designations or plaques on the wall.

It’s not that I haven’t thought about getting a designation, I just thought I could study financial textbooks, industry books and journals, attend lectures, classes and webinars to acquire the information and solutions I need to plan for my clients. Again, I feel very confident in my abilities to perform for my clients. I’ve also had the luxury of being surrounded by and mentoring very successful planners across the country and have learned a great deal from them.

So, I think there are two reasons to get a designation. The first reason would be to acquire the information and skills that would help advance a planner’s ability to serve their clients. The second reason would be for planners to have a designation enhance their credibility with prospects so they can market confidently. Both are valid. I’ve just been successful in my practice without the official designations. Might it enhance my knowledge and credibility? Probably, but I just pursue both of those in ways that better suit me.

As for licenses, I’m life/health licensed and have a Series 65. I used to have my Series 6 and 26, but dropped them to focus on managed money solely.

-          Dave Vick

For more from Daniel Williams, see:

•  Ode to a baby boomer
• Fee- or commission-based: Does it matter to seniors?
• What’s the most creative marketing technique ever?