Advisers’ traditional product focus 'alarming’
Questions are being raised over financial advisers’ focus on traditional products, with a survey showing more than half of respondents viewed specialist risk as a priority.
The Advice Leaders Forum Survey carried out by consultants T&C found that 58 per cent of respondents were looking to add self-managed superannuation fund (SMSF) capability and 43 per cent specialist estate planning capability.
In a company blog T&C questioned if advisers were “too focused on the traditional suite of offers to clients”.
“It was alarming that accounting capability and the integration of accounting and financial planning (particularly in the growing area of SMSFs) didn’t receive the prominence T&C expected,” the blog said.
While T&C expressed some concerns, the blog said the survey painted “a picture of advisers moving on from FOFA and looking to grow their businesses”, but warned that changes needed to be made to attract new clients.
The survey also highlighted concerns among advisers that many believed that the 'talent pool’ within their organisations threatened the effective implementation of strategic growth plans.
“This highlights the need for wealth management businesses to step up to their performance management issues and address role clarity, accountabilities, training and skill levels, as well as alignment of KPIs and remuneration structures,” T&C said.
“It’s a clarion call for more effective management in this area in order to build sustainable growing businesses”.
Recommended for you
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.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
