Sabine Walter in conversation with ...

Constanze Hintze, Managing Director of Svea Kuschel + Kolleginnen Financial Services for Women

Ms Hintze, what do you love about your job?

Quite clearly: that I have to deal with people every day. Working on, for and with people is our top priority in investment counselling. And because everyone is different and pursues different goals, my profession brings with it incredible diversity. My job description would therefore not only include the classic banker and stockbroker, but also the psychologist, the architect and the coach. 

I already sensed that I would enjoy this profession during my bank training in Berlin. My role-models back then were securities and customer advisors. That was in the mid-1980s. And even after 30 years, my enthusiasm for this job has not changed - there is always something going on here. When I then swapped my secure job at the bank for self-employment in 2000, it was a very big, if not my biggest professional challenge. But I was attracted by the entrepreneurial responsibility, the creative freedom and also the prospect of directly measuring results. It was undoubtedly a leap into the deep end. But today I say: I did everything right.

SW: How has your profession changed in recent years?

I am experiencing a clear change. On the one hand, after the crises at the turn of the millennium and the misconduct of individual industry representatives, confidence in the financial world has suffered greatly. The financial crisis of 2007/2008, during which banks were rescued and share prices went into a tailspin, intensified this loss of confidence. The former blind trust in the bank and the banker has simply disappeared. 

On the other hand, the need for good financial advice is great. This has something to do with our social security in Germany, which is becoming increasingly fragile and private provision is therefore compulsory for everyone. But it is also due to the enormous diversity of the financial world. Financial advice is no longer only provided by banks and savings banks, but also by independent investment advisors, insurance companies and, in the broadest sense, financial bloggers on the internet. Investors today have more options for investing money. This offers opportunities, but can also cause confusion. And the risks are still not getting any less - on the contrary. Because with the elimination of interest rates, an entire asset class has been completely eliminated. This makes investing more demanding, which is why good and personal advice is so important. 

The third development that I am observing is a change in the investor himself: more and more people are concerned with their financial investments and old-age provision. Investors are more informed and more critical. I compare this with the development in medicine. Here, too, people inform themselves through various channels, research on the internet, get second and third opinions. And yet, in the final decision, they follow the advice of the expert in the vast majority of cases. That is still a valuable commodity. In other words, the trust that clients used to place in us, often simply because of our profession, is now something we have to earn day by day. 

What parallels are there to what we do, personality development?

An expression that comes directly to mind is "check & balance". Together with the client, we create a specific investment strategy. On day X, this strategy fits the market, the client's personal and professional framework and his goals. But this strategy must be reviewed, questioned and adapted again and again. The investor's situation changes, markets change, crises emerge and have to be managed. We are currently experiencing this through Corona. 

Questioning one's own actions and decisions once made also applies to me as a woman, mother, entrepreneur, managing director and executive. Check and balance is the first step towards personal development.

S.W.: Do you have to be ahead of your time to do your job well?

Yes, I think so. Above all, I have to be well-informed, recognise trends, be close to what's happening and move close to the investor. That's why I'm also watching the digitalisation that's rolling over our industry, very closely. It's a revolution!

Knowledge, competence and a certain ability to forecast the further development of the financial markets are my tools of the trade. But no-one can predict the future. 

When do you get the best ideas?

Not in the shower (laughs). There are three things. To have an idea, I need a palpable feeling of distance in terms of space and content. For example, new thoughts and ideas arise during a holiday, an extended mountain hike or a morning swim. Quasi on the move.

My third source of inspiration is reading. I like to see how others do it, look for "best practice" examples. The FAZ is a good source for this with its stories on entrepreneurs or founders. Other sectors, other professions, experiences inspire me. Especially when it comes to the digital transformation.

What will your profession look like in 2050?

Bill Gates said many years ago: "Banking is necessary, banks not". That gets to the heart of the matter. Our profession will always exist, even if it will of course change a lot by the year 2050 - as it has already changed in the last 2 decades. I have said it before: We are in the midst of a digital transformation that is not only changing the product world - just think of the algorithm-based robo advisors in asset management - but also entire work and organisational processes. Careers are thought of and planned differently and in future, counsellors will have to bring much more digital skills with them. 

Nevertheless, I believe that in 2050 we will have a hybrid model in investment and financial consulting. This means that the person, the advisor, will still have personal and direct contact with the client. Emotions, closeness and the "scent" of a good conversation will be perceived in the future as a counter-trend to everyday digital life. They constitute an important entrepreneurial success factor for me. 

Constanze Hintze is a wealth expert and managing director of Svea Kuschel + Kolleginnen financial services for women in Munich and Frankfurt am Main. She has published extensively on the topics of women, finance, pensions and wealth and has been advising women and men on financial issues for more than 30 years. Hintze is involved in the international women's network ZONTA.