7 Lessons Advisors Can Learn From High-Net-Worth Clients and Apply to Regular Clients

Advisors who work with high-net-worth clients know that they often bring a different set of expectations to the table. Understanding the mindset of wealthy investors can prove valuable when serving clients with a different net worth profile. Read on to learn the key lessons advisors can take from high-net-worth clients and how they can be applied to any client.

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Lesson #1: Everyone Makes Mistakes

It’s tempting to assume that wealthier investors are inherently more cool-headed when it comes to their portfolios, but that isn’t necessarily true. 

An exploratory study of wealthy investor behaviors published in the March 2025 edition of the Journal of Financial Planning found that wealthier individuals indicated higher levels of subjective knowledge about the markets, but were no less likely than other individuals to have made emotion-driven investment mistakes. ¹ The study compared two cohort groups: one with investable assets of $1 million or more and a second with investable assets ranging from $250,000 to $999,999. 

Authors Matthew Sommer, Ph.D., CFA, CFP®, and Sonya Lutter, Ph.D., CFP®, suggest that based on this finding, affluent and high-net-worth investors may feel overconfident in their abilities. So, how can you apply this lesson to your clients who may still be in the early stages of building wealth?

An understanding of behavioral finance and financial psychology can be helpful. You have an advantage when you understand your clients’ money scripts, which reflect their internalized beliefs about money, and the role emotions play in shaping their investment decisions. When market volatility sends clients into panic mode or they express doubts about their investment choices, you can use what you’ve learned to help them navigate those emotions and avoid rash decision-making. 

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Lesson #2: Education Matters

As an advisor, you don’t know it all and neither do your clients. But that’s actually a good thing, as it’s an opportunity to encourage growth. The exploratory study conducted by Sommer and Lutter examined the importance of investment education and found that 84% of high-net-worth investors were interested in improving their financial skills. 

Encouraging education can help build trust if your clients feel they can rely on you to answer their questions and explain difficult concepts in a way that’s easy to understand. As their knowledge grows, they may feel more empowered to make financial decisions and more confident in their choice of advisor. That, in turn, could prompt them to send more referrals your way. 

Education can also be a valuable marketing tool. For example, you might host online seminars on topics that are relevant to the concerns of your ideal clients. Seminars, webinars and workshops enable you to highlight your expertise and make initial contact with prospects that could lead to deeper financial planning conversations.  

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Lesson #3: Almost Everyone Needs an Estate Plan 

Wealthy clients may use estate planning to further their charitable giving efforts, preserve wealth and create a legacy for the next generation. However, that isn’t something that only the wealthy should consider. 

Estate planning applies to every client, no matter their tax bracket, says Renee Fry, co-founder and CEO of Gentreo, a company that provides estate-planning document services.

“Financial advisors should take the example of their high-net-worth clients and apply estate-planning principles to all their customers, regardless of income bracket,” Fry says. “Every person has an estate, regardless of their income level, and thus, everyone should have a plan in place to ensure that their assets are distributed according to their wishes.”

Proper planning can help advisors build a bigger client base. “By doing so, advisors can help ensure their client’s financial security, build long-term trust and differentiate themselves from their competitors,” Fry says.

Lesson #4: Outside Advice Is Valuable, Even When Clients Are Knowledgeable

Some clients may be titans of business or professional heavyweights, which has helped them benefit financially. “But that doesn’t mean that they know how to budget, how much insurance to have, how to invest or what to do with their wealth in terms of estate and charitable giving,” says Amy Jo Lauber, a Certified Financial Planner™ and founder of Lauber Financial Planning.

Lauber also says that non-high-net-worth clients, especially those looking to improve their financial situation, often have more financial awareness than those who are wealthy.

“I find people who are living paycheck-to-paycheck are much more aware of their financial situation because they need to be,” Lauber says.

Lesson #5: Index Funds Can Be a Foundation for Client Portfolios

Stocks are a major component in wealthy client portfolios; according to Sommer and Lutter, 93% of high-net-worth investors held individual stocks. However, that isn’t always realistic for the everyday investor. An individual who has a smaller amount to invest initially may find their dollars don’t go as far when attempting to purchase some of the highest-value stocks in the market. Mutual funds and exchange-traded funds (ETF) offer a solution. 

“You do not have to have millions of dollars to own a piece of the largest 500 stocks in America,” says Stephen Maggard, CFP®, with Abacus Planning Group. “Putting $1,000 into an index fund that tracks the S&P 500 will spread your dollars among America’s 500 largest public companies. And it’s not expensive to do.”

Non-high-net-worth clients have the opportunity to take advantage of index funds that have affordable expense ratios, Maggard says. “These funds are a great way to capture market returns without paying an arm and a leg.”

Lesson #6: Wealth Doesn’t Eliminate Worry

High-net-worth individuals may share some of the same concerns about the market as other investors. According to Sommer and Lutter, wealthy investors most often worry about how market volatility and geopolitical uncertainty may affect their financial futures. Inflation and rising interest rates also made the list. 

These are all concerns your clients may express to you and how you respond can make a difference. In terms of how to talk to clients about their worries, empathy and active listening can go a long way. Empathy means putting yourself in your clients’ shoes, while active listening uses verbal and nonverbal cues to demonstrate that you’re listening to what the client is saying, suspending judgment and cultivating responses that demonstrate your understanding. 

Active listening can ensure that clients feel heard and that their needs are met. You may not be able to erase their worry entirely, but you can help them evaluate whether those worries are founded and offer solutions that allow them to feel more in control of the situation. 

Lesson #7: Combining Money With Financial Planning Is Powerful

“The lesson I feel high-net-worth clients can teach all clients is money doesn’t buy happiness. But financial planning does,” says James Parks, CFP®, with Parks Wealth Management.

For high-net-worth people, neglecting to combine their millions of dollars in assets with good financial planning can spell trouble. And for folks with less money, the lesson is the same.

“Create and follow a financial plan to meet your goals and dreams,” Parks says. “Budget in fun travel plans, retirement income and college funding. And spend time on the activities you enjoy versus watching your portfolio reach some arbitrary number.”

Bottom Line

Advisors work with a variety of clients, ranging from high-net-worth clients to average-income clients. Your niche ideally reflects the clients you’re best equipped to serve, regardless of how much wealth they bring to the table. Despite the differences in the size of their bank accounts, everyday clients can benefit from some of the same strategies advisors implement for wealthier households.

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• Generalist messaging can make it harder to stand out. Narrowing your focus to a specific client segment, such as physicians, business owners or pre-retirees, allows you to tailor your services and marketing more precisely. A clear niche helps refine your value proposition, improve referrals and create content that directly addresses the needs of your ideal clients.

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