How a Wealth Manager communicates with their followers, community, or investors is a critical factor in achieving long-term success. While some may believe that results alone should be enough, trust must be actively earned, and effective communication plays a key role in building and maintaining that trust.
A Wealth Manager may deliver good results, but failing to communicate effectively during periods of volatility or increased drawdowns can lead followers to lose confidence and stop following. This article offers guidance on communicating changes, strategy adjustments, and unexpected events to maintain transparency and trust.
When to Communicate
Unexpected Events: If a position underperforms or encounters issues due to market conditions or strategy challenges, the Wealth Manager must inform their community promptly. This proactive approach helps manage expectations and reassures followers that their funds are secure. Alongside the update, having a clear action plan and communicating it effectively is essential to maintain trust.
Regular Updates: Providing periodic updates on strategy performance, improvements, and other relevant developments is another key practice. Regular communication, even during stable times when results are positive, demonstrates that the Wealth Manager is engaged and attentive to the client's needs. Followers appreciate these consistent updates as a sign of professionalism and dedication.
Where to Communicate
Zignaly offers a built-in communication tool for Wealth Managers:
Discord: Wealth Managers can have a dedicated channel within the official server to share results, interact with followers, and address questions. This is one of the fastest and most efficient communication methods, as the entire community can view and engage with the updates.
Telegram: Posting updates on groups with the community, discussing risk management and new strategies, can provide key information for investors and potential ones.
X (former Twitter): Organize an AMA with the community to build trust and a relationship with them. These channels allow Wealth Managers to reach a broad audience.