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Emotional Rescue: Often the advisor's toughest task is to act as behavioral coach and save clients from their natural emotions of fear and greed.

Most advisors start a new client relationship with a frank discussion of investment goals and risk tolerances in order to create a long-term asset-allocation plan. But despite all of the big-picture planning, advisors are continually faced with clients who panic when markets get rough and decide to seek out safe havens or look to shift their portfolios away from poorly performing asset classes and toward "hot" asset classes.

Indeed, the most common failure of the average investor is to let emotion, rather than an objective process, guide the decision-making process. Often the advisor's toughest task is to take on the role of behavioral coach and to save clients from their ...

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