What sort of world will US registered investment advisors and other wealth managers be wrestling with in the months ahead as - hopefully - COVID-19 looms less large over our lives. A figure in the sector shares some thoughts.

The following article comes from Brent Brodeski, the chief executive of Savant Capital Management. He writes about the kind of world that registered investment advisors must wrestle with as and when the pandemic subsides. Clients will need guidance as they contemplate the financial and business rubble left by the lockdowns and associated policy moves. Governments will be desperate for revenues; businesses will need capital, particularly if they are in sectors hit particularly hard by lockdowns. Pre-virus challenges, such as high public debt, worries about US-China trade and the impact of digital technology on traditional work, are as relevant as ever. And of course we still need to think about what true “independence” means in wealth management, about the challenge of inter-generational wealth transfer, financial literacy, diversity, and coping with weak yields from traditional assets. 

This news service is delighted to share these ideas with readers; the usual editorial disclaimers apply. Feel free to jump into the conversation. Email the editors at tom.burroughes@wealthbriefing.com and jackie.bennion@clearviewpublishing.com

You may have heard market commentators talk about the “new normal.” The term been bandied about after disruptive events such as the 2008-2009 financial crisis, 9/11, and the dot-com bust. With the COVID-19 crisis having totally upended our lives and markets in just two months, there is no doubt that a new normal has emerged for most people. 

Like it or not, we have been forced to abort old routines, habits, activities, and norms that we previously latched onto and found comfort in. Stuff that seemed important and caused drama a few weeks ago now seems irrelevant.  

On the flipside, the crisis has offered an opportunity to wipe the slate clean. It has forced us to reinvent our personal and work routines and become intentional in refining the stale methods, techniques and outdated processes we’ve previously resisted updating. We are innovating in real-time.  

The crisis is not yet over, however, so let’s slow down a bit to think about the “future normal” that will emerge over the next three to 12 months. 

Once-in-a-lifetime opportunity
This interlude will give us a once-in-a-lifetime opportunity to reset and upgrade our habits, routines, processes, focus, contributions, and relationships. It can pay off big for client-centric and internal-culture-centric organizations for many years.

Why is this important? 
If we figure out the coming future normal state, we can innovate faster, create more real and perceived value, formulate more timely and relevant thought leadership, communicate more effectively with clients, evolve and tighten our proprietary processes, become more lean and efficient, remain relevant, and build a firm and brand that attracts and retains great clients and the best team. Fortunately, the present new normal state will be short-lived. In fact, we are at the point when the change forced upon us might start feeling good. Why? Research tells us that it takes 21 days to form a new habit, and then 90 extra days to make a habit permanent. 

Crystalize your thinking
I suggest you take a few minutes to organize, focus, and crystalize your thinking about the current situation (new normal) and the future world that will emerge for all of us once the pandemic runs its course (future normal).

What has changed in the last 30 days and what has stayed the same? Do this in the contexts of your business, your job, and your personal/family life. What habits no longer fit into the new normal?  

For example, we can’t currently travel to conferences or commute to the office. How do you re-purpose this time? For me, I’m doing a ton of online learning. What new habits do you want to create and what should you add to your home and work routines? More time for nature walks, exercise or meditation?  

Write down 30 and 90-day tactics that will allow you to make lemonade out of lemons during this crisis. These are the most important near-term actions to navigate this crazy time, and they will also aid in influencing your impending future normal.  

Life in the future
Once you have your new normal focus, shift to thinking about your life in three to 12 months from now. 

Some new routines will stick, becoming permanent. But the evolving environment will present new surprises and opportunities. I encourage you to envision and lean into this reality.

For example, at Savant we have broadened our client thought leadership to include things like health and wellness. We even did a live private concert for clients via Zoom! Out-of-the-box for an RIA but memorable and creative. Once you identify the new plays, execute them! 

Change is hard. But it is easier during times when life is upended. I encourage you to start thinking about what new habits and routines allow you to take charge of the future normal. It is not a question of whether this reality will be different. It will be. 

The better question is: If we as RIA leaders choose to take the bull by the horns and proactively create our future normal, what new habits, routines and focus areas can we hone in on to make us better, stronger, and more effective?

If we choose this path, we will accelerate the opportunities for our clients, internal teams, and the communities we serve.