Day in the Life with Nadia Cavner

On this soon-to-be-sweltering August morning, Nadia Cavner jogs along winding roads near her east Springfield home, her heart rate rising with the ruthless summer sun.

The heat and humidity are still bearable when Cavner and her twentysomething personal trainer hit the pavement at 5:45 a.m. Cavner is barely awake. She’s not a morning person, but running at dawn has become a thrice-weekly ritual for the 46-year-old financial planner.

“I just find your day goes better,” she says, now settling into her BancorpSouth office on East Sunshine. “You have so much more energy.”

Energy helps when you’re managing at least $362 million of other people’s money, championing a passel of philanthropic causes and raising a teenage daughter.

Cavner’s achievements in the first two categories were recognized this year by Barron’s magazine and the Ozarks chapter of the Association of Fundraising Professionals, respectively.

Though the last two years have been clouded by a lawsuit surrounding her September 2005 move to The Signature Bank (now BancorpSouth) from U.S. Bancorp, Cavner in June was named No. 30 among Barron’s Top 100 women financial advisers. It was her fourth year on the list, but she was No. 13 in 2006. (Editor’s Note: The lawsuit, U.S. Bancorp Investments vs. Nadia Cavner and The Signature Bank, ended in dismissal in October; see Springfield Business Journal’s Nov. 12 story.)

According to Barron’s research, Cavner’s average client’s net worth is $1.5 million, with typical accounts totaling $500,000.

Cavner arrives at her office well before 8 a.m. this Friday morning. It’s been a rough week for the U.S. economy – the stock market tumbled 380 points, the second-biggest plunge since 2003.

Seated at a rectangular table that’s been transformed into a smorgasbord of succulent fruit and fresh Panera bagels, Cavner and her four-person team start the day by assessing market fluctuations.

This is a lesson in diversification, Cavner tells staff members who look as though they’ve heard this sermon before. Most of Cavner’s clients are invested in seven or eight different funds, a strategy designed to better insulate them from economic hiccups like the unfolding credit crunch.

Today’s watchwords are “calm” and “patience.” Three days of significant gains followed by a cash injection from the Federal Reserve to bring down interest rates shouldn’t be overlooked, Cavner says.

“We should remind clients that they are in it for the long term,” she stresses. “It’s about time, not timing.”

Cavner then steers the meeting toward updated revenues for publicly traded BancorpSouth (NYSE: BXS), the Mississippi-based banking chain that merged with The Signature Bank last year. Revenues are up year-to-date compared to 2006, and the bank is looking at adding a financial planner in the St. Louis suburb of Clayton.

Cavner’s longtime associate, Steven Clark, briefly takes the reins. He conducts a performance review of mutual funds, highlights the virtues of fixed annuities and then runs through upcoming events.

The meeting lasts fewer than 45 minutes, and Cavner makes a beeline to her office for a quick review of news headlines. She hardly has a chance to digest an article before taking a call from Mike Stanard, executive director of Missouri Health and Educational Facilities Authority.

Cavner has served on the MOHEFA board for seven years, but she was unable to attend the August meeting. Stanard gives her a recap of what happened as she sips a cup of steaming Panera coffee.

The conversation is cut short when Female Leaders in Philanthropy leaders Nancy O’Reilly and Carol Jones stop by to ask Cavner for a donation. The guests implore her to make a three-year commitment to an Ozarks Food Harvest program that sends underprivileged schoolchildren home on Fridays with food-filled backpacks. Cavner cuts a $7,000 personal check, noting that the gift is from her and husband Howard.

The rest of Cavner’s morning is spent on the phone with economists and advisers, including David Kelly with Putnam Investments in Boston. Kelly delves into housing market news.

Between 10 percent and 15 percent of $1.3 trillion in home mortgage loans issued in 2005 and 2006 will result in foreclosure, and housing starts are the weakest in 10 years, Kelly says over speakerphone as Cavner scribbles on a legal pad.

After Kelly takes a few questions from Cavner, she hangs up and rapidly recaps with intern Mauri Waneka, a 17-year-old Catholic High senior. Cavner has long offered internships to local teens, and she is especially interested in recruiting young women into her field.

Before lunch, Cavner hears from David Hockensmith, executive director of the Council of Churches of the Ozarks. He politely praises her generous support and artfully thanks her in advance for future commitments.

After touching base with daughter Maral, who’s just wrapped up a tennis match, Cavner sits down with assistant Devona Breeden to allocate assets and write thank-you notes to clients who have referred friends and family to the Nadia Cavner Group.

“That’s my bread and butter,” she says. “This is a relationship business.”

The Day

5:35 a.m. Wakes up and gets dressed for an early-morning run through King’s Point subdivision.

5:45 a.m. Sets out on jog with personal trainer.

6:30 a.m. Returns home and gets ready for work.

7:30 a.m. Arrives at her BancorpSouth office and prepares agenda for Friday morning staff meeting.

8 a.m. Meeting begins. Cavner emphasizes to her team the importance of diversification.

8:40 a.m. Meeting wraps. Cavner retreats to her office, where she sips coffee and quickly scans news headlines.

8:45 a.m. Takes call from Mike Stanard of the Missouri Health and Educational Facilities Authority. Stanard shares highlights from MOHEFA’s August meeting.

8:55 a.m. Talks with Nancy O’Reilly and Carol Jones about donating to an Ozarks Food Harvest program.

9:05 a.m. Talks with David Kelly, Putnam Investments economist in Boston about the housing market shakeup.

9:25 a.m. Enters conference call discussing long-term investment strategies with Putnam advisers.

9:45 a.m. A longtime client stops by to say “hi.”

10 a.m. Meets with another client.

10:35 a.m. Takes a call from Ed Perks of Franklin Global Advisors in California. Perks reviews the impact of turbulent market conditions.

10:55 a.m. Takes a call from David Hockensmith of the Council of Churches of the Ozarks. He thanks her for continued support.

11 a.m. Meets with a client.

11:30 a.m. Daughter Maral checks in after a tennis match.

11:45 a.m. Meets over lunch with senior assistants Devona Breeden and Becky Angus to put through trades and write thank-you notes to clients.

1:30–3:30 p.m. Meets with clients, checks voice- and e-mails, and returns high-priority calls.

3:30 p.m. Meets with a new client.  

4:45 p.m. Quick market update with staff before calling it a day.

5:15 p.m. Leaves office to pick up Maral for a back-to-school shopping weekend getaway in St. Louis.

Have you always been good with numbers?

“I’ve always had a great love for numbers. And I really think where a lot of it came from was my dad. He was a very successful businessman (in the oil industry). I watched how he did things. He would bring balance sheets, and we’d look at them. … He really encouraged us early on. He had us set up a small stock portfolio – my sister and I. … He would say, ‘Look at where do you like to eat. What toys do you like to buy?’ … Some of it was over our head, but it was enough to give us a taste. … It made sense to me. I would say by 9, 10, I had a fairly good handle on things like that.”

What are the advantages and disadvantages of being a female in your field?

“I would say the advantage of it is that I really believe that females, in general, have this nurturing side. I think that really gives us an advantage. I’ve not really run into any disadvantages of being female. … I have a lot of male clients say they prefer to work with a woman.”

What is the most difficult part of your job?

“I consider it truly an incredible responsibility to help clients manage their life savings. That’s very, very stressful, because it’s people’s life savings. … How do I deal with it? I consistently keep up with all the industry changes. I keep myself up to date with the economy. … Just like with any business, I think you live and learn.”

How important is listening?

“I believe … in our business, it’s imperative. Ask the right questions, but shut up and listen. Just listen to what they tell you. I can truly help them if they give me the entire picture. … The more information they give me, the better we communicate, the better our relationship and, hopefully, the better results they would have.”

What philanthropic causes do you support?

“How my passion started, I think this is really a great story. Growing up, my dad really encouraged us to start saving part of our allowance. And at the end of the year, we got to give it to the charity of our choice. I just remember that excitement in my heart. It was a neat thing for me to look for organizations and nonprofits to help. … My parents were such an outstanding role model in giving. As I’ve succeeded in my profession more and more, I look very closely to give locally. I would say probably 80 percent of our giving goes locally. … The Kitchen is very near and dear to my heart (and) Council of Churches (of the Ozarks). I have tremendous respect for Mary Beth O’Reilly for what she’s done with Breast Cancer Foundation. … How can you not want to go out there and do more? Perhaps I have found (deciding which organizations to support) the most difficult thing.”

What’s most important for young adults to learn about investing?

“I would say begin. Get started in investing, even if it’s small amounts. … Be patient and learn. Make it a goal to start learning from early on. It could make such a tremendous difference by the time those young adults retire. … I always have said find a good adviser, someone you’re comfortable with, someone you can trust, someone you can understand each other’s lingo, if you will, and learn from them. Let it be a partnership.”

What certainties have you learned about the investment market or U.S. economy?

“You know, a great mentor of mine early on in my career said, ‘Nadia, remember with the market, it’s time, not timing.’ And I have really tried to practice that. I really believe not to let the short-term volatility get you to take your eye off of your long-term plans. … I often tell clients to look at their journey as a long plane ride. Sometimes, with a good pilot, they’ll get them there. Along the way, there’ll be some turbulence and they tell them to fasten their seat belts. And sometimes, they tell them, ‘You’re free to move around the cabin.’”

Is a work-life balance important to you?

“I really, absolutely believe that balancing your work and home life makes you a happier person and a stronger person. … There’s no question my husband of 22 years has been an incredible source of strength. He has been my reason for my success beyond a shadow of the doubt. We really do have a great partnership. He keeps me calm when I need to turn to someone. My faith. I have a very strong faith, and I’ve never been shy about that. I think that takes you through difficult times in your life. I do a lot of yoga. I work out diligently. If you know you have a stressful job, (discover) the areas that would help you. Early on in my career, I learned I’m not a superwoman. I can’t do it all. I used to try to do the housework and the cooking. It’s perfectly normal to have help in those areas. … I remember when (daughter) Maral was little, I said, ‘Don’t you want to do what Mom does?’ And she said, ‘No, I wouldn’t, Mom.’ And I was shocked. I said, ‘Why wouldn’t you, sweetheart?’ She said, ‘Mom, you work way too hard, and you’re gone way too much.’ It really was a very important point of my life, kind of a crossroads. I thought, ‘Yep, she’s right.’”[[In-content Ad]]