Why advisers should confront conflicts head-on

For years, James Barnash brushed aside conflicts at work, hoping the situation would get better. But instead, it made things worse.
DEC 14, 2009
For years, James Barnash brushed aside conflicts at work, hoping the situation would get better. But instead, it made things worse. “I used to bury the conflict for a while, and then something very minor would set me off,” said Mr. Barnash, a consultant with Stride Consulting Inc., which works with about 30 advisory firms. “My doctor told me I need to deal with my emotions at the time and that I'll feel better later.” For advisers and other financial services professionals, not dealing with problems can lead to very serious health issues. A study released last week by the Journal of Epidemiology and Community Health found that when men walk away from — or keep silent during — a conflict at work, they have a higher risk of having a heart attack or dying from heart disease. The study looked at 2,755 men in a workplace setting for 10 years, starting in 1992. By 2003, 47 had heart attacks or died from heart disease. The research discovered that men who walked away or kept silent — rather than confront conflicts or unfair treatment at work — were about twice as likely to have a heart attack. Women were also included in the study, but too few of them had heart-related issues, so no conclusions were given. This research confirms what Mr. Barnash has suspected for some time. He said he now works closely with advisers and tries to teach them how to deal with conflict head-on — whether it's with co-workers or clients. “If you're holding that tension in, it has to show up somewhere,” he said. “I try to give advisers the tools to be courageous to deal with conflict.” In the end, it's more productive to be vocal when you disagree with a boss, colleague or client, said Frank Congemi, an adviser who manages $100 million in assets with LPL Financial. “I would rather let someone know how I feel and have it pass then have it bottle up and fester, and have it come out in a negative way,” he said. “Some people say I'm negative because I speak my mind. But that's not true; it's just a difference of opinion.” Mr. Congemi said he also needs to address conflicts with clients. Sometimes he tells them things they don't want to hear, he said, but if he feels it's the right decision, he must be candid with them. “It's my [butt] on the line every day in this market,” Mr. Congemi said. “With all of the stress in this business, I'd much rather do what I think is right.” E-mail Lisa Shidler at [email protected].

Latest News

The 2025 InvestmentNews Awards Excellence Awardees revealed
The 2025 InvestmentNews Awards Excellence Awardees revealed

From outstanding individuals to innovative organizations, find out who made the final shortlist for top honors at the IN awards, now in its second year.

Top RIA Cresset warns of 'inevitable' recession amid tariff uncertainty
Top RIA Cresset warns of 'inevitable' recession amid tariff uncertainty

Cresset's Susie Cranston is expecting an economic recession, but says her $65 billion RIA sees "great opportunity" to keep investing in a down market.

Edward Jones joins the crowd to sell more alternative investments
Edward Jones joins the crowd to sell more alternative investments

“There’s a big pull to alternative investments right now because of volatility of the stock market,” Kevin Gannon, CEO of Robert A. Stanger & Co., said.

Record RIA M&A activity marks strong start to 2025
Record RIA M&A activity marks strong start to 2025

Sellers shift focus: It's not about succession anymore.

IB+ Data Hub offers strategic edge for U.S. wealth advisors and RIAs advising business clients
IB+ Data Hub offers strategic edge for U.S. wealth advisors and RIAs advising business clients

Platform being adopted by independent-minded advisors who see insurance as a core pillar of their business.

SPONSORED Compliance in real time: Technology's expanding role in RIA oversight

RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.

SPONSORED Advisory firms confront crossroads amid historic wealth transfer

As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.