Financial advisers seek ways to reward over-stressed assistants

Financial advisers exhausted from dealing with stressed-out clients now find themselves dealing with another stressed-out constituency: their assistants. With revenue down, rewarding hard-working assistants with raises or bonuses is out of the question. So advisers are trying other ways to retain and recognize key personnel, such as creating flexible work schedules, being more candid and communicative, and setting up time when employees can talk about non-work issues. Richard Stram, a certified financial planner with Marino Stram & Associates in Braintree, Mass., came up with a novel way to recognize Cathy Dolphyn, his executive assistant. He nominated her for his broker-dealer's 2008 national assistant-of-the-year award, and she won against 30 other finalists. "Nominating Cathy was the least I could do," said Mr. Stram, whose firm manages $250 million in assets and has experienced an 18% drop in revenue. "It was a tough award to get. Some advisers don't take time to do the award, but she's done a really great job; she's phenomenal." Communication has been a big part of Mr. Stram's efforts to reassure Ms. Dolphyn and other employees, who are worried about their jobs and have seen their salaries frozen in an effort to avoid layoffs. His candor is appreciated by Ms. Dolphyn, who said one of the most wrenching parts of her job has been talking to clients who are distraught about seeing their retirement savings shrivel. "It's been stressful because you have compassion for these people," she said. Taking the brunt of clients' frustrations and demands is probably the hardest part of most assistants' jobs.
"It wears on you. The only thing that keeps you from really burning out and not being able to do it anymore is knowing that it'll end," said Laurel Tobin, a financial planning coordinator for Integrated Wealth Management LLC in Edison N.J. "Every day, it's like going through a bad winter," she said. "Every day, you're one step closer to spring." Other assistants said they feel pressured to please everyone. "The main thing that becomes difficult for me is the juggling; by the time the client calls, they want to come in yesterday," said Kelly Allen, an administrative director for The Financial Consulate Inc., based in Hunt Valley, Md. The firm doesn't disclose assets. "When I tell the clients that the earliest appointment is next week, it's hard for them. But I do my best to keep everyone happy — staff and clients," Ms. Allen said. Given the daily struggle, advisers must talk to employees about the difficulties that they encounter and also be open about the advisory firm's financial health, said Rebeca Buffaloe, director of coaching at ClientWise LLC, a New York-based coaching firm for financial executives. "In one case, an adviser hadn't communicated with staff at all. Fear was running rampant in his office," Ms. Buffaloe said. "To me, it seems logical that they were worried about losing their jobs," she said. "That's why advisers must communicate." Advisers who are open with employees and acknowledge the financial strain on advisory firms may find that non-cash benefits are welcome and helpful in reducing stress. Flexible schedules, which Ms. Buffaloe advocates, have worked at Harmon Financial Advisors Inc. in Atlanta, where adviser Brad Harmon said that employees may start the day an hour or two later or leave earlier because of a long commute or because they have children. "We try to make it an enjoyable place to work," he said. Each week, everyone at the firm, which manages $210 million in assets, also meets for lunch on the company's dime to talk about life outside of work. In addition to lunches, advisers should give employees extra time off, especially if they have had to freeze or lower salaries, said Missy Escribano, director of education for Raymond James Financial Services Inc. in St. Petersburg, Fla. "We're talking to advisers who are worried about their employees. They have strong bonds with clients, and their morale is really down," Ms. Escribano said. "The employees are really taking on all of this emotional stress." Kenneth Gutwillig, a partner and adviser with Financial Decisions Inc. in New York, which manages $160 million in assets, said that he and his partners try to talk directly to clients to take the load off the assistants' shoulders. "We've made an effort not to pass on the stress to the employees," he said. "We have that flexibility because we have three partners." Mark Cortazzo, whose Macro Consulting Group in Parsippany, N.J., manages about $300 million, said that his firm holds weekly staff meetings to talk about the firm's finances. "We've been growing and adding clients," he said.
"Many of the staff have come from other financial services firms, and they're talking with friends who were first to get cut," Mr. Cortazzo said. "We need to make sure they know there's a secure seat for them at Macro." The constant daily chats between Lauren Pierson, director of first impressions at ASE Wealth Advisors in Greenville, S.C., and adviser Devery "Rusty" Cagle have helped buoy her confidence. Mr. Cagle also gives her tips and strategies to use when answering calls from clients. "He really does help educate me," Ms. Pierson said. "He'll mention a better way to phrase something to clients or a better outlook for them." The firm manages $40 million in assets. E-mail Lisa Shidler at lshidler@investmentnews.com.