Many webinars and courses for financial advisors regularly talk about how to attract new clients. And while this is logical, it made me think: Instead of looking for new clients, why don't financial advisors create meaningful relationships with their HNW client's adult children? So, when their parents retire, they choose to keep them as advisors instead of finding someone new.

But you'll be surprised to know the statistics regarding advisors doing this. I've been polling advisors, and I hear 15-20% when I ask them how many of their HNW clients' adult children they have a meaningful relationship with.

This is a very low percentage. Too low if you ask me. 

But don't take my word for it.

According to a survey by Investment News, 66% of children fire their parents' financial advisor after they inherit their parents' wealth.

According to this article published by the Illinois CPA Society, some estimates put this abandonment figure at more than 95%, and three-quarters of investors say their children have never met their advisors.

According to research by asset management research firm Cerulli Associates, only about 13% of adult children of affluent aging clients chose to work with their parent's financial advisor. About 88% of those who chose not to work with their parent's adviser never even considered doing so.

Why are these numbers so low?

Tomorrow is too late as 60% of affluent investors met their first financial advisor before 45 and one-third before they were 35.

Why are financial advisors allowing their hard-earned clients and their wealth to trickle through their financial advisor's fingers by not establishing a relationship with the adult children of their NHW clients?

1. Not understanding the difference between a Salesperson and a Consultant.
2. Not understanding the difference between Interrogatory and Consultative Questions.
3. Fear of what the HNW clients' adult children will think of the financial advisor and the insurance and investment advice that the financial advisor has provided to the HNW client over the years.

A Salesperson tells the client what they need, and a consultant helps the client discover exactly what they need.

Interrogatory Questions relate to;

• What is working / not working 
• Logical Reasons 
• Client Needs (Fear)
• Trigger Negative Emotions & Negative Beliefs  

Consultative Questions relate to;

• Why you want what you want
• Positive Emotional Reasons 
• Client Values (Love)
• Trigger Positive Emotions & Positive Beliefs  

 Are the Needs Analysis Questions Interrogatory or Consultative?

• Do you believe your assumptions for growth are correct? 
• Do you have any plans in place to protect your increasing Net Worth from either CRA / IRS at death or medical facilities if Nursing Home Care is required? 
• Assuming Social Security and your Pension will provide close to 40% of income need, how much of the total income would you like to have guaranteed? 
• Do you anticipate any large expenditures or significant changes in the next few years? 

These Interrogatory Questions will stimulate a client to take action.

But for whose reasons? The Salesperson or the Client?

Would it not make sense to ask Clients these Consultative Questions developed by my friend John W. Wheeler Jr., CFP, CLU, ChFC, CRPC, LUTCF of Water Tower Financial Partners, LLC?

• What do you care about? 
• Who do you love?
• What do you love?
• What is important to you?
• What are you concerned about?
• How do you want to be remembered?

Whose reasons will financial decisions be based on? The Consultant or the Client?

The above questions will surely eliminate Fear of what the HNW clients' adult children will think of the financial advisor and the insurance and investment advice that the financial advisor has provided to the HNW client over the years.

Do you think the following questions would help your HNW clients create a reason to introduce you to their Adult Children?

• Do you think about your adult children's financial future?
• What do you think of it?
• How do you feel they will do?
• Are your adult children prepared to inherit and manage family wealth?
• Do you worry your adult children will lose the family wealth after inheritance?
• How does that make you feel?

What are the Consultative Questions to ask your HNW clients before asking the above questions that will lead to an introduction to their adult children?

• What do you like best about working with me concerning helping you create a plan to grow assets, protect assets, save tax and leave a legacy?
• What have you received that you did not expect?

Simon Reilly is a financial advisor and investment advisor with Leading Advisor and a contributing columnist for Advisor Today.