Old advice proposition no longer viable
Financial planners should be looking to provide advice in areas such as aged care, estate planning and insurance to find opportunities in the current market, according to a financial planning consultant.
Planners must now take a "positive approach" to help clients regain control of their financial situation, while also rebuilding their own advice businesses, said Strategy Steps director Assyat David.
Advisers who would be most successful at this would be those who can reposition their client value proposition, David said.
She believes advisers whose value proposition is based on market performance are now most vulnerable and that this style of advice will be redundant in the future.
"Even when financial markets stage a solid rebound these advisers cannot resume their old approach to servicing clients."
David said there is now recognition among dealer groups that advisers must engage broader strategies to add value to clients and boost their own revenue.
Recommended for you
The month of April enjoyed four back-to-back weeks of growth in financial adviser numbers, with this past week seeing a net rise of five.
ASIC has permanently banned a former Perth adviser after he made “materially misleading” statements to induce investors.
The Financial Services and Credit Panel has made a written order to a relevant provider after it gave advice regarding non-concessional contributions.
With the election taking place on Saturday (3 May), Adviser Ratings examines how the two major parties could shape the advice industry in the future.
