Financial planner sentiment decidedly cautious
The outlook for portfolio returns has gotten somewhat better but financial advisers continue to tread cautiously with their clients.
While financial planners are still very much sticking to 'safe haven' investments like term deposits and cash, this particular study did not take these components in to consideration.
As such, Wealth Insights found that over the next 12 months the majority of planners (48 per cent) expect average portfolio returns, with another 39 per cent expecting poor portfolio performance.
The seemingly endless debate around bonds and equities has only managed to cultivate uncertainty amongst an already bearish financial advice industry.
Structured products have certainly not been front-of-mind for advisers over the past few years with capital protection very much the flavour since 2009.
Wealth Insights managing director Vanessa McMahon said both financial planners and their clients remain nervous about global economic events and this has translated into a reluctance to advise clients to get back into the market.
Despite this there has not been a significant reduction in the number of clients or level of funds under advice, with most planning businesses still performing well, she said.
AUTHOR
Andrew Tsanadis
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