Using Reports to Grow Your Firm and Exceed Client Satisfaction

Written by Shari Hensrud, VP Risk & Analytics at Nitrogen

One of the key components to growing your firm and maintaining client satisfaction is being able to build lasting trust and communicating with your clients in a way they understand. But how do you do this when financial conversations can quickly become complex? The key is building reports that are easy to deliver, easy to explain, and easy to understand. Delivering thoughtful, compelling reports helps demonstrate your value to your clients and helps enhance decision-making.

Here are some key elements to think about when you’re building out your reports:

Make It Client-Focused

Tailor reports to align with each client’s specific goals, risk tolerance, and investment timelines.  Personalized reports demonstrate your commitment to addressing individual needs, reinforcing your services’ value. Use reports to track progress towards goals and provide regular updates on goal achievement. These components build confidence and trust, demonstrating your commitment to your clients’ long-term success.

Include Portfolio and Market Insights

Insights identify strengths, reveal weaknesses, and spotlight opportunities. The right combination of portfolio analytics presented in easy-to-understand charts or graphs will result in satisfied clients.  

It is common practice to glean insights from historical performance. Including performance reports is not for every client and can be a distraction from the more important focus of goals.  Conversations around performance are often the most complex and can require a lot of education and explanation. If you find yourself looking at the analytics and starting to craft an explanation in your head, add the analytics necessary to fill in the gaps. Incorporate the necessary analytics to support the reasons for the performance. For example, consider an example where 70% of the portfolio is well-diversified, but the remaining 30% is a concentrated position. Place the concentrated position on a separate line when quoting performance or add it as an additional benchmark. Be thoughtful when selecting benchmarks to ensure accurate representation. By including the correct elements, it reassures clients about the stability and safety of their investments and the quality of your investment strategy. 

Risk management analytics demonstrate the strength of the portfolio and how well it is positioned for goal success. Risk management analytics such as stress tests or scenario analysis help keep the focus on the client goals.

Have Educational Content Throughout Your Report

Include educational content within your reports to explain key concepts and metrics. Be sure to tailor the content to the interests of your target audience.  Educational content is best understood through short concise statements, supported by easy-to-follow analytics, charts, and graphs.  Adding educational content empowers clients to make informed decisions and fosters a deeper understanding of their investments. Educated clients are more likely to appreciate and trust your expertise.

Offer detailed and transparent reports on a regular basis. Consistent communication builds trust and keeps clients informed, which leads to client engagement and satisfaction.

By leveraging solution-focused portfolio analytics in your reporting, you can demonstrate your expertise, build client trust, and highlight the value of your services. Customized, transparent reports that emphasize performance, manage risk, and track goals can significantly enhance client satisfaction and drive firm growth. Embrace advanced technology and continuous education to stay ahead in the competitive landscape and consistently exceed client expectations.