The Power of Inquiry: How to Ask Better Questions in Finance

Welcome to another episode of the Untamed Ethos podcast, hosted by Joshua Wilson, Founder at United Ethos Wealth Partners. In this episode, we delve into the intriguing topic of “The Power of Inquiry: How to Ask Better Questions in Finance.” Joining us are esteemed guests Dr. Russell Rhoads, Clinical Associate Professor at Indiana University School of Business, and Meghaan Lurtz, Professor of Practice at Kansas State University and Senior Research Associate at Kitces.com.

The episode kicks off with a warm welcome to Dr. Meghaan Lurtz, whose practical advice on executing financial strategies has been highly anticipated. Dr. Lurtz’s background in industrial organizational psychology and financial planning provides a unique perspective on understanding human biases and cognitive behaviors in business. Her focus on financial planning and its applicability to various aspects of life makes her insights particularly valuable.

Dr. Lurtz shares her experiences working with different financial advisors and her research agenda, which involves conducting standard interviews with 15 to 20 advisors on specific topics each quarter. Her curiosity about how advisors experience their work and relationships with clients drives her research. She aims to understand the problems advisors face and develop ways to solve them. For instance, she discusses the concept of turning plan presentations into engagement meetings by recording short videos about specific financial planning topics to increase client engagement.

The conversation then shifts to the evolution of financial planning and the importance of relationships in achieving successful outcomes. Dr. Lurtz emphasizes that no matter how great a financial plan is, if the relationship in which the plan is being delivered is not strong, the outcomes will not be favorable. She also highlights the difference between selling a product and selling a relationship, stating that the latter is crucial in financial planning.

The episode also explores the concept of behavioral economics and how it has evolved to become more applicable to financial advisors. Dr. Lurtz explains that understanding how to address biases and execute strategies is more important than merely knowing about them. She shares practical strategies for advisors to handle clients who are in a state of fear or panic, emphasizing the importance of communication and understanding in these situations.

In conclusion, this episode of Untamed Ethos provides valuable insights into the power of inquiry and questions in finance, the importance of relationships in financial planning, and practical strategies for advisors to better serve their clients. It emphasizes the need for financial advisors to understand and address human biases and behaviors to achieve successful outcomes.