What are some strategies for working with clients who are risk-averse?

1 Understand their perspective

The first step is to empathize with your clients and understand why they are risk-averse. Risk aversion can stem from various factors, such as past experiences, personality, beliefs, values, or expectations. By listening to your clients and asking open-ended questions, you can uncover their motivations, concerns, and challenges. You can also validate their feelings and acknowledge their strengths and achievements. This can help you build trust and rapport with your clients and show them that you respect their perspective.

2 Challenge their assumptions

The next step is to challenge your clients' assumptions and beliefs that may be holding them back. Risk aversion often involves overestimating the likelihood or severity of negative outcomes and underestimating the benefits or opportunities of positive ones. You can help your clients examine their evidence, logic, and alternatives for their assumptions and beliefs. You can also help them identify and reframe their cognitive distortions, such as all-or-nothing thinking, catastrophizing, or personalizing. By challenging their assumptions and beliefs, you can help your clients develop a more realistic and balanced view of the situation and themselves.

3 Explore their options

The third step is to explore your clients' options and potential actions. Risk aversion can also involve avoiding or procrastinating on making decisions or taking steps. You can help your clients brainstorm and evaluate their options and potential actions. You can also help them weigh the pros and cons, the costs and benefits, and the risks and rewards of each option and action. You can also help them consider the consequences of inaction and the opportunity costs of missing out on something. By exploring their options and potential actions, you can help your clients expand their horizons and see the possibilities and opportunities.

4 Support their decisions

The fourth step is to support your clients' decisions and actions. Risk aversion can also involve fear of failure, rejection, or criticism. You can help your clients overcome their fear by encouraging them, providing feedback, and celebrating their progress. You can also help them cope with setbacks, learn from mistakes, and adjust their plans. You can also help them recognize and appreciate their achievements, growth, and learning. By supporting their decisions and actions, you can help your clients build confidence, resilience, and satisfaction.

5 Review their outcomes

The final step is to review your clients' outcomes and results. Risk aversion can also involve difficulty accepting or acknowledging success or positive feedback. You can help your clients review their outcomes and results by asking them reflective questions, such as what worked well, what didn't work well, what they learned, what they enjoyed, and what they would do differently. You can also help them acknowledge and celebrate their outcomes and results by giving them praise, recognition, and rewards. By reviewing their outcomes and results, you can help your clients reinforce their positive experiences, behaviors, and beliefs.

Working with clients who are risk-averse can be challenging, but also rewarding. By using these strategies, you can help your clients overcome their resistance, take action, and achieve their goals. You can also help them develop a more positive and proactive attitude towards risk and change.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?