Volatility has spiked in 2022 in response to rising rates and international turmoil, but that could be good news for financial advisors according to Cerulli. The latest Edge publication demonstrated that Advisors are being leaned on to deliver critical advice in response to high inflation, economic sluggishness, and deteriorating equity prices. For existing clients, they advise advisors to concentrate on tax loss harvesting and long-term planning. Advisor’s who capitalize on providing these while rebalancing risk in portfolios are putting their clients in the best position to hit a rally coming out of the turmoil. Advisors should lean into their attributes during high volatility.
Finsum: Research shows financial advisors provide critical value when it comes to relating to clients and helping them understand economic circumstances, volatility can provide a chance to capitalize.