Consumers mystified about planners’ job description
Beyond what they see in media headlines, many consumers have no idea what a financial planner does, a wealth management veteran believes.
While some know planners work in the investment realm, many potential customers are bemused about what precisely planners can offer them, Wealth Know How's general manager, Fiona Parker, said.
"Consumers are telling us they want the role of planners demystified so they can better understand how even the basic problems and investment strategies will be addressed," she said.
Until they have that understanding, they are unwilling to make the "first call" to engage with a planner, she added.
"It is clear from recent research by the Financial Services Council that people who get financial advice get real value from it so it is important that it is made more accessible," she said.
"Taking into account the cost of advice, an individual who has had financial advice generally saves $1590 each year more than a similar individual without a financial adviser."
She said potential customers would benefit from education campaigns to clarify the practical role of planners.
AUTHOR
Staff Writer
Recommended for you
Minister for Financial Services, Stephen Jones, has said he did not expect backlash to changes around advice fee deduction and believes the second tranche will have greater impact, committing to enact it by May 2025.
Financial adviser numbers are “back in black” for the year to date, thanks to 50 new entrants joining the industry over the last four weeks.
An equity partner firm of Count has purchased a Brisbane-based accounting business for nearly $1 million, as Count drives forward its inorganic growth momentum.
Australia’s looming intergenerational wealth transfer remains a crucial opportunity for financial advisers, with 14 per cent of consumers looking to transfer $1 million or more.
