5 Skills You Need To Be a Successful Risk Manager

By Daniella Rand

The business of risk management is not for the faint of heart. It requires an unwavering commitment to a host of best practices developed over the course of many years, along with a number of personal and professional traits rarely found in the same individual.

The good news, for aspiring risk management professionals: Many of these skills and competencies can be acquired or learned with sustained practice. Let’s take a look at five that you may not even know you have — or, at the very least, simply haven’t had much of an occasion to exercise in your current role.

Daniella Rand

1. An Uncanny Eye for Detail

Risk management demands attention to detail. Not run-of-the-mill attention to detail of the sort expected in most white-collar professional settings, but an uncanny, uncompromising eye that catches what others miss. If you’re routinely lauded for your unusual ability to spot what’s just slightly out of place, you may possess this ability already.

2. An Above-Average Ability to Handle Pressure and Stress

How well do you work under pressure? If you thrive in a high-stakes environment with little room for error, you’re likely doing quite well on this measure. Because they’re often required to perform at their best when the situation is headed south, successful risk managers need to be able to think on their feet when others can’t.

3. A Strong Grasp of Financial Concepts and Risk

Risk management and a strong grasp of finance go hand in hand. Successful risk managers need to understand what constitutes acceptable levels of financial risk in a given situation, keeping in mind that “acceptable levels” vary widely by scenario. 

4. The Ability to Think Logically (Including Under Pressure)

Logical thinking is critical in the risk management business. There’s plenty of room for creative solutions here, to be sure, but it’s important to have a logic-driven bearing that prioritizes fact over feeling and empirical evidence over gut instinct. 

5. Strong Presentation Skills (And a Knack for Communication)

If and when you uncover a significant operational threat that must be addressed in short order, you’ll need to rely on your superior presentation skills to make the case to your superiors, colleagues, or clients. The same goes for less urgent threats, as well. The better your communication skills, the better you’ll perform as a risk manager.

Do You Have What It Takes to Be a Successful Risk Manager?

If you have these five important attributes, you can say without irony that you’re well suited to be a successful risk manager.

Does that mean you will find success as a risk manager? Not necessarily. Like any demanding profession, the risk management business is fraught with, well, risk. It requires the sort of dedication and commitment that many simply don’t possess. And, for better or worse, successful risk managers very often find themselves in the right place at the right time. Luck does play a role in this and every career.

Those caveats aside, aspiring risk management professionals who possess the building blocks described here would do well to actually give it a go in this business. For those with talent and drive, there’s plenty of room for growth — and a mark waiting to be made.

3 Tips Every Successful Wealth Manager Propounds!

By Daniella Rand

Successful wealth managers are a highly qualified bunch. It stands to reason that you should listen to what they have to say, at least when it comes to managing your own money and charting a course to a prosperous future.

Most wealth managers worth their salt tell their clients to cover a few bases from the get-go. Follow these tips in order and you’ll be well on your way to securing your family’s financial future.

Daniella Rand

3 Tips From Successful Wealth Managers

Successful wealth managers invariably advise their clients to follow these three tried-and-true money management tips. Are you following any already?

1. Get in Touch With a Seasoned Wealth Manager

First things first: get in touch with a seasoned wealth manager whose practice philosophy aligns with your own personal goals and risk tolerance. You don’t have to entrust every single financial decision your household makes to your wealth manager, mind you. But you absolutely want to have a steady hand at the tiller as your personal and professional lives grow more complex. Having a wealth manager in whom you have the utmost trust is crucial.

2. Get Comfortable Managing Your Own Savings & Setting Near-Term Financial Goals

Your wealth manager’s input is invaluable as you work to manage your long-term financial goals and stay on top of your investments. You, on the other hand, are more than capable of managing your own savings and near-term financial goals. Speak to your wealth manager about taking charge in this arena; they should be more than happy to give you a crash course.

3. Keep Close Tabs on Your Investments’ Performance, and Don’t Be Afraid to Have Tough Conversations With Your Wealth Manager

If you’re serious about brokering a long-term relationship with your wealth manager, you need to be prepared to monitor the performance of your investments and bring any concerns you might have to your advisor’s attention. Don’t shy away from frank discussions around performance; if your expectations aren’t being met, you have every right to say so.

Monitor Like a Boss

It’s worth re-emphasizing this last point. As the old saying goes, “You can’t manage what you don’t measure.” If you’re serious about managing your own finances in close cooperation with a seasoned financial advisor, it’s on you to ensure you’re monitoring the performance of your investments and the security of your liquid savings.

This isn’t rocket science, of course. Monitoring your savings and investments is a matter of discipline and attention to detail: two traits that plenty of successful people have. 

Likewise, it’s important that you feel comfortable bringing the results of your ongoing monitoring activities to the attention of your financial advisor, who must also be carefully monitoring your portfolio.   A good advisor will happily listen to what you have to say and work with you to tweak your financial plan, should circumstances require it. If at any point you feel as if your concerns aren’t being heard, think seriously about taking your business elsewhere. Your financial future is too important to entrust to an advisory partner in whom you have less than the utmost confidence.