“I am hunting for people who would be a good colleague or teammate, not someone who works for me.” -Jack Dangermond
The NFL teams attaining the most success achieve synergy between owner, coach, and quarterback. The owner and coach are in charge. Results are judged on their decisions, on their strategy. Their most key decision is picking the quarterback. The quarterback is relied on for their football experience, knowledge, and ability to maximize the other player’s talents. They bring the parties together, on the field.
The quarterback works for and with the coach and owner. He’s a part of the team, a key leader of the team. He doesn’t take over. He doesn’t provide all the roles for the organization. We know that would be a silly strategy. We know that wouldn’t put the odds of success in our favor?
Why do we hire financial planning quarterbacks to take over? Do we hire them to take over or does it simply happen against our wishes? How do we maintain the synergistic relationship we desire?
We need less focus on products, more focus on process. The process focuses on analyzing the products, not being the direct provider of the products. We depend on assistance from our financial quarterback to analyze products and solutions. We need an independent and reliable:
- Custodian, for our funds: The planner helps us assess options.
- Insurance broker, for our protection: The planner evaluates products.
- Estate attorney, for our wishes: The planner reviews the work.
- Fund company, for our investments: The planner recommends a process.
- Accountant, for our taxes: The planner analyzes and collaborates on our behalf.
The hire the financial planner to work with us, to be a key part of the team. The advice we seek is holistic. Let’s maintain independence and integrity by separating these roles. Don’t fall for the “all services provided under one roof” trap. The structure of these roles and how we set them up is what limits conflicts of interest.
Do we see the relationship with our financial planner as adversarial? Or, do we see the relationship with our financial planner as one of unity? Do we put them “across the table” from us? Or, do we put them on the same side of the table with us? Is the quarterback seen as a teammate or as a scapegoat?
Do we want them to convince us of their methods? Do we want them to defend their process and principles on an ongoing basis? Or, do we see it as collaboration? Do we want them to use their process towards the achievement of our worthy goals? Do we put the quarterback in a position to succeed and use their skills to the maximum?
The famous quote is…trust, but verify. In the beginning stages, let’s ask all our questions. Let’s insist that it’s done a certain way. A way that is in our best interest. Then, trust is a choice. Trust the process. Trust the planner. Work together.
It’s too difficult to work against each other and too critical to not work as one. The stakes are too high. The time, too precious. We can’t waste it. Spend the time game planning for success.
“Financial planners who take commissions have a built-in conflict of interest…even with disclosure. My choice would be a Fee-Only planner.” -Jane Bryant Quinn
