Clients demand integrated advice


Financial planning clients are increasingly demanding integrated advice services such as mortgage broking and/or accounting services in addition to financial planning from their advisers, according to National Australia Bank (NAB).
NAB-owned financial planning licensee, Apogee, was transitioning towards integrated advice services as they found clients were increasingly asking advisers to broaden their service offer.
Apogee general manager, Brendan Johnson, said: "To succeed in the future, advice businesses will need to respond to changing client preferences".
"What clients are saying in this research is that they value their adviser and the advice relationship highly, but if their advice business does not currently provide advice on debt, tax, and other areas, clients are asking for them to broaden the services they offer."
Independent research commissioned by Apogee showed that its licensed businesses returned an average client net promoter score (NPS) of 55, compared to the financial planning industry average of 10.
Apogee said it was providing support to advisers who had previously provided insurance-only advice or mortgage broking-only advice to broaden their scope to provide advice in cashflow management, lending, financial planning, superannuation and wealth creation, as well as accounting and tax services.
Recommended for you
A financial advice firm has been penalised $11 million in the Federal Court for providing ‘cookie cutter advice’ to its clients and breaching conflicted remuneration rules.
Insignia Financial has experienced total quarterly net outflows of $1.8 billion as a result of client rebalancing, while its multi-asset flows halved from the prior quarter.
Prime Financial is looking to shed its “sleeping giant” reputation with larger M&A transactions going forward, having agreed to acquire research firm Lincoln Indicators.
An affiliate of Pinnacle Investment Management has expanded its reach with a London office as the fund manager seeks to grow its overseas distribution into the UK and Europe.