Fumo (Cnp Vita Assicura): “The approach to the customer must be holistic”

Fumo (Cnp Vita Assicura): “The approach to the customer must be holistic”

For Paolo FumoCommercial Director Cnp Vita Insurancefinancial consultancy is constantly evolving and in recent years the changes have been particularly evident.

What are the challenges in a context as difficult to decipher as the current one?

“In the changing and complex financial landscape, the challenge for the market is to never lose sight of the engine that drives the business, the needs of customers. Only by fully understanding the needs that evolve depending on the context and life phases, can we offer solutions that truly reflect savers’ expectations, always paying attention to the correct diversification of assets in a medium-long term vision. According to a survey conducted with Bva Doxa, the safety of capital and the stability of returns emerge as the two elements most considered by savers when choosing investments. An attitude that highlights the low predisposition to risk of Italian investors and at the same time how much the emotional sphere can influence financial decisions. A common phenomenon such as loss aversion can influence investors’ decisions, leading them to take irrational actions.”

Paolo Fumo, commercial director of Cnp Vita Assicura

What role does the consultant play?

“In this scenario, the consultant certainly plays a key role, being the point of reference capable of helping customers orient themselves in financial choices without being influenced by the emotions of the moment.

According to various studies, there is often a propensity to turn to a single consultant. This means that his advice must go beyond wealth management, extending to the overall well-being of the person and his loved ones. A significant responsibility that leads to having a global vision of the client’s life, considering not only short and long-term financial goals, but also aspects related to health, family and emotional well-being. Only a holistic approach can guarantee solutions that truly reflect the needs and priorities of each individual. We must therefore work in synergy with the networks so as to best combine protection objectives and growth objectives of those who rely on us to protect their life plans. Recent years have demonstrated how markets can be conditioned by many factors, for example the geopolitical situation, interest rate trends or inflation. A context that teaches that performance can no longer be the only or main objective that guides investments if we really want to protect clients’ assets”.

1-year performance of the Dow Jones Industrial index

1-year performance of the Dow Jones Industrial index

What strategy is Cnp Vita Assicura pursuing specifically?

“As responsible insurers, together with the distribution networks, we want to make customers more aware of the risks of the market but also of the potential that it makes available. I am thinking in particular of the insurance sector capable of combining investment solutions with those classic and distinctive elements such as protection, low volatility, non-exposure to reinvestment risk as well as tax advantages. Peculiarities to be considered not only during the purchase phase, but over time during the entire duration of the contract. However, the increase in redemptions that has characterized the market in 2023 suggests that this awareness is not always there: in fact, disinvesting from solutions such as separate management to focus on instruments of a very different nature has changed the structure of portfolios, moving towards solutions that respond to very different logics and needs Knowing how to deal with customers in every context requires a concrete commitment also in terms of training. At Cnp Vita Assicura we strongly believe in this aspect and for years with our Academy we have provided networks not only with technical-regulatory courses, but also courses focused on soft skills to help consultants in their relationships with customers. I am thinking specifically of behavioral finance which we will also talk about during Consulentia, with the support of professor Enrico Maria Cervellati. Knowing how to ask the right questions allows you to really get to know who you are dealing with, thus being able to offer the most suitable solutions for everyone. After all, there is no ideal solution for everyone, but everyone can find aspects of the insurance offer that are best suited to their needs and propensity for risk. Each individual has a unique approach to managing their funds and assets, influenced by factors such as financial education, past experiences and personal preferences. Recognizing and adapting to the specific needs of each financial personality is essential to offer tailor-made solutions that fully meet customer expectations.”

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