By MyPerfectFinancialAdvisor
Many investors and consumers are unaware that there are financial advisors that cater to niche clients, and these niches are in the hundreds, yet they are rarely written about. Understanding the various niches and if you the investor are in fact a niche investor can be key to maximizing your wealth management, retirement and financial well-being.
What Kind of Niche’s Exist?
The numbers and types of financial advisor niches is almost as unlimited as one’s imagination: retirees, divorcees, widows, Gen X, Gen Y, AFL-CIO auto workers, artists, special needs families, pediatricians, engineers, and the list goes on and on. The categories of niche’s can also be quite expansive. There are advisors that serve clients along the following categories, but this is not exhaustive: age, marital status, occupation, lifestyle, gender, life stage, income.
When speaking about what niche really means, it can be that the advisor has expertise or skill that pertains to something technical relating to the investor. For example, there are advisors that are expert in the retirement plans of Detroit auto workers. These advisors know everything about the retirement plans that are offered to these union workers and provide expert guidance in how the auto worker can plan optimally for retirement.
In other cases, the advisor has niche expertise in the client situation. For example, there are advisors that cater to divorcees of those in the arts and entertainment industry. They understand the financial ramifications of being divorced from an actor, entertainer or professional athlete as well as the psychological and emotional issues when someone is in this unusual life situation.
Am I a Niche Investor?
Many people default to the thought that they are not unique or complicated, therefore they are not in a niche group. However, the more you think about it, the more likely you could belong to a niche group. Doctors are usually aware that they are in a niche, but an optometrist may not view his financial life as unique from a pediatrician but in fact often the financial needs of the two do diverge. Most fireman would probably not consider themselves as different from any other investor, but in reality, they have vastly different financial needs and at very different times in their lives relative to others. While it is possible some one is “average”, it does pay to think through how you might belong to a special subset of investors.
Bottom-line: Does it Matter?
In a word, yes. Having an advisor that specializes or is knowledgeable about your niche can be extremely beneficial to the investor. For example, if you are a veteran, there are numerous benefits available to you as part of your service to our country. If your advisor has many veteran clients, she will likely be able to better serve you due to her knowledge of the Veterans Administration, versus an advisor that has no veteran clients. From a relationship perspective, an advisor that has many widow clients, for example, will be knowledgeable about the emotional roller-coaster the widow will be going through. Emotional stress is one of the drivers of bad financial decisions, and an advisor’s steady hand to temper any hasty decisions can having lasting benefit.
Taking the time to explore a niche financial advisor for yourself can be one of the best investments one can make.
www.MyPerfectFinancialAdvisor.com is the premier matchmaker between investors and advisors using personalized data, proprietary algorithms, and deep industry experience.
