The fewer clients you have, the more money you can make, discovered one Ontario advisor.
While transitioning from a commission to fee-based model and switching memberships from MFDA to IIROC – Imran Syed, an Ottawa-based investment advisor with Worldsource Securities Inc., decided to prune his books. Since the membership switch required him to repaper every client file, Syed thought what better a time to weed through his client list; giving him a fresh start, so to speak.
“It was a good time to reflect on which clients I worked best with and which clients might be better served by other people,” he explained. “I thought about doing it before, but it’s easy to make excuses not to do it … to continue bringing in new clients.”
Since tackling this feat back in July 2011 (it took about two years to fully transition), Syed said he has seen his revenue “grow significantly,” though he would not provide an exact figure. He attributes this to being able to focus more on clients who have a need for full-service financial planning.
“What people forget is that you have to service these clients and the service is an expense,” explained Syed. “If you are looking after 100 clients as opposed to 300 … you’ll have better relationships with those clients, you’ll see more of them, remember more things about their lives and (be able to) counsel them on things that you wouldn’t have had time to before, such as debt reduction and mortgage pay downs.” (continued on Page 2)