The problem is the financial planning industry was built on product sales.
Starting with insurance then managed funds, then superannuation and more sophisticated products as the world and laws became more complex.
Unfortunately the advisory industry has trained advisers into believing they provide all these products and services to their clients as well as continuing to be an expert, not just in one field but now many! The result that naturally has evolved is that less value can now be delivered to the client due to the adviser’s knowledge and capacities being stretched, since they are now responsible for multiple complex disciplines.
As soon as adviser’s realise that their most valuable asset to the client is ensuring understanding a client’s needs and setting and adhering to a realistic long-term strategy to achieve a desired outcome for that client. Doing this with first rate client service and a strong projection of trust and professionalism are the keys to success.
Let me give you an analogy to assist. let’s say its Grand Designs!
Picture from Grand Deigns Sunday Times.
Imagine you wanted to build your dream home.. The goal generally is to move in and reside in the dream home rather than the process of the dream home build, correct.. however the process of finally residing in your dream home may take three alternative paths.
You each of us we will draw our own conclusion as to which path we feel there is the most value.
The financial planner who can lead an manage a team of specialists, is someone who can deliver immense value to the client, as they will have a deep understanding of where the client needs and is working to be, and they will liaise, manage and organize the process where professionals can contribute in an efficient and proactive way to give the client the greatest chance of success in achieving their goals, save the clients time, heighten their trust in their adviser and ultimately be advice worth paying for.