1. You’ve had conversations with clients about diversification, but they may not realize the concept applies across markets, and not just within them. Put this to them during your next meeting: “Canada’s stock market is lopsided toward energy and financials, and it’s only a small part of the global market. For true diversification, we should consider looking beyond our borders.”
2. Some of your clients are younger and can handle more risk than they’re taking. Next time you meet, say: “At your age, income and risk tolerance, you could be targeting much higher returns. But if we keep your portfolio locked in Canadian investments, it will be difficult to raise our expectations. We should take a hard look at opportunities beyond our borders.”
3. Your client wants to add global investments; the issue now is whether he or she should hedge currency risk. Say this to get the conversation going: “Currency hedging tends to have a more meaningful impact with bonds than equities. Let me walk you through a Presentation on why that is.”