Caddie's Content and Engagement Manager, Chris Barnett, recently caught up with Founder of Mindful Wealth, Lea Schodel, to get her insights on what it takes to be a mindful financial coach. Here's what Lea had to say...
Chris: As a Financial Coach, what one skill you know have you learnt from coaching, that you wish you would have had in your former life as a financial adviser and why?
Lea: When you coach someone, you recognise that the client is an expert in their own life and your role is to educate and support them and help them build the confidence to make empowered financial and life decisions.
It is different from advice because you are not telling them what to do but you are giving them options. They are engaged in the process of making active change and decisions to achieve the outcome they are seeking.
With coaching, you must listen and ask the questions to get to what is of most importance to them and help guide them to their solution and steps towards change or success.
Chris: Following on from the above, you are also a Yogi! What's the one skill you have learnt through the practice of Yoga that you wish to have had in your former life as a financial adviser and why?
Lea: When you practice yoga, the time on the mat is about slowing down and finding space. It’s in this space and silence, you can connect to yourself (mind + body) through the practice of mindfulness.
On the mat that means connecting to your breath and body through movement, as well as your thoughts + emotions in the stillness.
Off the mat, we can apply the practice of mindfulness (mindful awareness) to help us connects to ourselves and our lives a little more.
There is so much “noise” around us and I often found my clients had trouble articulating what really mattered to them (their values) and what they actually wanted to achieve (their personal goals) and why it mattered to them (their own definitions of success, happiness and wealth).
By introducing the practice of mindfulness it helps them to become more aware of how their thoughts, feelings and habits are impacting their relationship with money and/or preventing them from what they really want to achieve and build in life.
Chris: With the ongoing Royal Commission expected to bring further change to the world of Financial Advice, what skill do you think will be most important for financial adviser in the future and why?
Lea: Adaptability.
One thing is certain in this industry and that is change is constant and in the face of so much change and disruption it’s important to focus on the positives and view change as opportunity.
I think so often we focus on the negatives. To not only survive but thrive as an industry we must constantly evolve and embrace the changes.
Focus on what we can do, and what matters most – the value we provide to our clients.
Chris: According to the MoneySmart website, women on average have a super balance at retirement of $104k compared to $197k for men. How can financial advisers help to bridge this gap?
Lea: Every adviser should be having this discussion with their male and female clients whether employed, self-employed, an employer, a worker or stay at home parent.
With more awareness of the problem, the focus can shift to solutions – what small steps can we take to build a better and more equitable financial future for both men and women.
Chris: A report from MLC at the end of 2017 found that only 57% of women in Australia felt “in control” of their financial situation which dropped to only 47% of single women. What should Financial Advisers be doing to help empower women with their finances?
Lea: Many women are put off by the traditional approach to managing and discussing money. It’s not about the money – but what the money represents and what it can do for you in life.
It’s time we thought about changing the language and approach to advice to enable more women to take back control of their financial future and wellbeing.
It’s not about making your branding pink, soft or feminine, it’s about getting to understand what your female clients’ needs are and how you can tailor a service offering that best supports this.
Chris: Final question for today - you have been involved in Financial Advice for over 17 years now, if you could go back in time and give yourself once piece of advice when you first started out, what would that advice be?
Lea: Dare to be you and do things differently.
For a long time (until 4 years ago) I followed the typical “advice model” and process, without considering if there was another way to do things.
Just because something has always been done one way, doesn’t mean we can’t do it another. I would tell myself to be bold, more creative and to make the process more engaging.
Both you and your clients will enjoy and find more value in the process.
About Mindful Wealth
Lea's work is far broader than just money. She focuses on financial well-being and runs global workshops, retreats and seminars. She regularly write articles and appears on podcasts, speaking to people worldwide to offer group and individual financial wellness programs, both online and face to face.
Her work is her passion and her mission is to inspire, educate and motivate others to create a healthy relationship with money which supports them to live happier, fuller and better lives. You can get in touch with Lea directly via her website here.