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9 Steps to Grow Your AUM With LinkedIn

9 Steps to Grow Your AUM With LinkedIn 9 Steps to Grow Your AUM With LinkedIn

LinkedIn recently released some eye-opening statistics about how successful financial advisors are using LinkedIn to find clients and grow assets under management One of the biggest takeaways from the data was the discovery of just how many high-net-worth investors are basically begging to be prospected to by enterprising advisors. And if those stats are even half right, they show enormous potential for financial advisors using LinkedIn specifically and social media generally.


Here’s what their surveys (in partnership with FTI Consulting and Cogent Research) found:


-- 62% of financial advisors actively prospecting on LinkedIn over the past year converted new clients from that process.


-- 32% of the financial advisors who converted new clients from LinkedIn had $1 million or more in new assets under management from new clients.


-- There are 5 million “affluent investors” with $100,000 or more in investable assets and 73% of them use LinkedIn to research investment decisions.


-- The “ultra affluent investors” with $5 million or more in investable assets are 157% more likely to trust articles shared on LinkedIn and 37% more likely to trust information shared by their LinkedIn network.


-- Finally, 52% of affluent investors say that they would interact with financial advisors via social media, but only 4% currently are being engaged by financial advisors online.


So, how can you use this to your advantage?
Crystal Thies, the “LinkedIn Ninja,” has developed a great system to mine the 401k rollover gold mine that is LinkedIn. A large percentage of the LinkedIn membership is people in transition looking for a new job. If they are in transition, then there could be a 401k that may need to be moved from their past employer.


The best part of this technique is that those who are not yet allowed to be using social media for business purposes can use it without being out of compliance You simply have to have a LinkedIn profile (even if it doesn’t identify you as a financial advisor) and a decent sized LinkedIn network (at least 100 people).


Source: Crystal Thies is an online networking trainer and consultant known in social media circles as the “LinkedIn Ninja.”

Step 1: Go to the Advanced Search Step 1: Go to the Advanced Search

You’ll find this important link at the far right on the menu bar after the search box.

Step 2: Type These Terms in Keyword Box Step 2: Type These Terms in Keyword Box

In the keywords box, type the line below exactly as it is presented below:


"in transition" OR "new opportunity" – NOT financial NOT finance and NOT investment

Step 3: Enter Zip Code, Set Proximity Range Step 3: Enter Zip Code, Set Proximity Range

Enter your office’s zip code in the Postal Code box and set the radius as far as you’re willing to drive to meet with a new client or as far as you think a new client would be willing to drive to meet with you.

Step 4: Check the Box for 2nd Connections Step 4: Check the Box for 2nd Connections

In the bottom part of the Advanced Search page, you’ll see a filter labeled “Relationship.” Put a check in the box next to “2nd connections.”

Step 5: Click on the Search Button Step 5: Click on the Search Button

The size of the list you end up with is mostly determined by the size of your network. My 1st degree network is a little more than 1,500 people and I have over 140 prospects within a 50-mile radius.

Step 6: Review Your Connections Step 6: Review Your Connections

The bottom line of each search result will tell you how many connections you have in common. If you click on it, you will see up to the first three shared connections. If the summary of the person and the connections in common look promising, click on their profile to review to see if they appear to meet your preferred client profile.

Step 7: Strategically Analyze Your Options Step 7: Strategically Analyze Your Options

The next step involves some strategy development. The goal is to find a connection that you feel comfortable approaching to talk to about this prospect and the connection who will be most comfortable actually talking to the prospect. If you have more than one connection in common, prioritize the connections you’re most comfortable approaching.

Step 8: The Referral Request Step 8: The Referral Request

The beauty with focusing on the 2nd degree connections is that you don’t have to use any of LinkedIn’s communication or introduction tools to make this strategy work. It’s also why I said that compliance isn’t an issue. Because you’re connected with them on LinkedIn, at minimum you have their email address. If it’s someone you know outside of LinkedIn, then you may also have their phone number. Use your approved email account or simply pick up the phone to talk to your connection about this prospect.


How you approach your connection about the referral really depends on the strength of your relationship with them. If it’s someone you know well, it should be relatively easy since they know who you are, what you do, how well you do it, and they hopefully want to help you. If it’s someone you don’t know well, then you’re going to have to be more subtle – or that could also be an excuse just to get to know them better before asking about the prospect. I’ve found that a message similar to that below often works very well:


Dear Connection,


I noticed that you were connected to Jane Smith on LinkedIn and that Jane is currently in between career opportunities. As you may or may not know, I help people in transition take control of the few things in their financial lives that they can control during these often turbulent times. I was wondering if you would be open to talking to me about your relationship with Jane and if it would be appropriate for you to introduce the two of us. I would be happy to meet you for coffee or lunch or schedule a phone call at your convenience.


If your relationship with Jane is not such where you would be comfortable approaching her about this topic, please feel free to say so and know that there are no hard feelings. If there is ever anything I can do to help you or your business, please don’t hesitate to ask. I look forward to hearing from you.



Warmest regards,


Me

Step 9: Talk to Your Connection; Set Up Introduction Step 9: Talk to Your Connection; Set Up Introduction

Now get on the phone or send an email or a text message and “connect” with your connection. The goal is to make a plan to get introduced to the referral and follow through.


The ultimate success of the technique really depends on your relationship building and communication skills. I can show you all the prospects you need on LinkedIn, but if you can’t build the relationship in order to effectively gain access to them, then you’ll never succeed.


I also seriously caution against trying to contact the prospects cold and drop the name of the connection between you. You will likely not get a warm welcome and will quickly burn bridges with your connections.


The best part is that once you’ve developed this search you can save it and LinkedIn will email you every week with the latest prospects that meet your criteria. Imagine that…potential 401k rollovers landing in your inbox every single week without you lifting a finger!


Also see:

7 Facebook Basics for Financial Advisors

10 Critical Social Media Tips for Advisors

Getting Social: The Rules

10 Steps to Twitter Success for Financial Advisors

LinkedIn is a great resource for wealth managers looking to interact with existing clients or find new ones. Here’s a step-by-step overview to help grow your AUM.

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