More digitally focused advice models to roll out
While there are not new advisers joining the industry in droves, the ones that are joining expect the industry to be in the digital world and the next few years will see more e-advice models rolling out, according to Saxo Markets.
Gaye Anable, who works at the firm’s institutional partnerships and solution sales division, said there were people entering the industry but that they already lived in a digital world and expected their day-to-day world to be digitally focused, including their workplace.
Anable noted there had been a change in mindset from advisers to being more comfortable with digital solutions and that the pandemic had accelerated that.
“People are generally excited because they want the industry to continue and want to find a solution to current problems,” she said.
“People want to be able to service that next generation, they know that it's already an issue for them. So, they want to find a solution to fix that and having those solutions are incredibly important to them all.”
However, she said a lot of advisers were still dealing with the issues the industry had experienced over the last few years.
“Australia's long been an innovator in the industry. In this particular space right now there's been so many issues within the industry over a period of time that things have slowed down a bit in terms of actually innovating because they're trying to deal with the day-to-day challenges of operating a business and changing, you know, and dealing with the regulation, etc.,” Anable said.
“I think that's just been a burden, that's been a bit too much for them over the past five to 10 years.”
She noted that issues would not be solved overnight and would continue to play out over the next couple of years, but the end result would see a very different industry.
“It will be one that's very much more professional, supported, and trusted – these are key things,” she said.
“When it comes down to it, you need to trust the people who are actually managing your money or advising you where your money should be because money does matter.”
Recommended for you
The ongoing adviser shortage is a key driver behind advisers’ increased use of ETFs and managed accounts, according to an industry expert, fuelled by the need for cost and efficiency savings.
A business consultant believes there is a proven correlation between advice businesses that develop and commit to a clear business plan and those that see higher profit outcomes, but only when done correctly.
Advice technology solution intelliflo has launched an integration with fintech firm FAYBL to introduce AI capabilities across the intelliflo office offering to boost efficiency.
ASIC’s court case with Interprac is causing advisers to explore the possibility of self-licensing, according to My Dealer Services, as they observe the reputational damage it can bring to a practice.
