Advised Aussies forecasting less Government reliance
Fewer Australians believe they will have to rely on the Age Pension in the years ahead, than currently received Government support, with those who receive financial advice even more optimistic, research reveals.
The IPSOS/MLC Australia today — part two - A look at lifestyle, financial security and retirement in Australia, white paper, found that 43 per cent of Australians said they anticipated needing the Age Pension to supplement their retirement savings — down from 53 per cent of current retirees.
Australians in their mid to late 20s were the most confident of being able to support their retirements, with two-thirds believing they would not have to seek Government support, MLC executive general manager, wealth advice, Greg Miller, said.
"The research unveiled [that] those with financial professionals — like a financial adviser - are consistently more likely to be confident about financial matters, spending and financial planning for the future," he said.
"These insights should drive advisers to stay ahead of the curve, embrace the opportunity and skill up on what may have previously been seen as non-traditional advice services, such as personal and business succession planning, which can enable customers to pass on their wealth according to their wishes."
MLC chief executive, Andrew Hagger, said the research showed that Australians' increased confidence in their ability to fund their own retirements without seeking Government support reflected positively on the superannuation system.
‘‘This trend demonstrates the potential of our superannuation system — to increase self-sufficiency in retirement — and it seems this is being realised by individuals, which can only be a positive for Australia," he said.
"That is why it is more critical than ever the objectives of super are enshrined in law as swiftly as possible to avoid constant political tinkering and provide stability and certainly to all Australians."
AUTHOR
Nicholas O'Donoghue
Recommended for you
Far too few wealth managers are capitalising on the opportunity presented by disruptive technology to deliver personalised investment solutions to the mass affluent demographic, according to PwC.
With over half of advisers using managed accounts, HUB24’s head of managed portfolios has unpacked the benefits driving their usage and how they can be leveraged by advice practices.
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
ASX-listed platforms HUB24, Netwealth, and Praemium have used their AGMs to detail how they are using artificial intelligence to improve their processes and the innovative opportunities it presents.
