When I’m asked what the most important thing about my work as a financial advisor and entrepreneur is, I always answer: knowing how to listen.

Knowing how to listen is a difficult attitude, as it’s not just about opening your ears; it involves attention and an effort to grasp the other person’s message, both in substance and form. Therefore, it requires self-control, generosity, and knowing how to ask the right questions. At first, open questions are used, allowing the interlocutor, whether a potential client or candidate, to reveal themselves. As the conversation progresses, questions are aimed at clarifying doubts and providing additional information—including assets, finances, taxes, etc.

In advising, you have to let go of haste and preconceived ideas because you have to start from the premise that no two clients are the same. I like to ask questions, first about the person, their family situation, and needs, and then move on to the objectives and the whys and wherefores. Sometimes, clients have had a bad experience with their investments, with their previous contact, or because they didn’t have clear expectations.

In my experience:

–I simply listen.

–I maintain eye contact.

–I don’t try to advise or interrupt until they’ve answered.

–I ask simple questions, such as, “What do you like most about a financial institution?”

–I use positive reinforcement, such as nodding or repeating a phrase, to make it clear that I’m following their point and understanding.

Furthermore, I believe it’s necessary, once I understand what a potential client is looking for financially, to clarify whether it’s something realistic and achievable, or whether they have difficult-to-achieve expectations. Setting expectations is very important to make clear. For this reason, I always discuss what they can expect from me: financial advice that adds value, on a recurring basis, and what they can’t expect: what the markets, a particular index, a specific stock, or a specific fund are going to do.

There’s a well-known saying that goes, “If you’re looking for a good financial advisor, interview three and choose the one who talks the least.” This refers to the fact that advisors often aim to impress clients with their knowledge and terminology. When the important thing is to translate that knowledge and speak in simple, understandable language, tailored to the listener.

If you’re thinking about starting a business, we’re at your disposal, and you should know that the ability to listen will allow you to have a better relationship with your clients and suppliers and, ultimately, will be good for your business.

Fernando Elvira González