Affordable Accessible Advice for All – Australians want it

Affordable Accessible Advice for All – Australians want it

Affordable Accessible Advice for All:

Australians want it!

Investment Trends estimate 48% of the Australian population have unmet advice needs.

 

Increasing regulation and complexity has priced professional financial advice out of the budget range of everyday Australians. This regulatory trend is likely to continue increasing the adviser’s costs.

 

Dante De Gori, FPA CEO, in his report The Future of Financial Advice states:

 

I believe financial planning should be accessible to all Australians, and I believe in the importance of financial planning to the Australian society – Dante De Gori

 

Financial Mappers’ unique holistic planning software now allows advisers to service effectively and swiftly existing clients and engage with new clients. Financial Mappers believes professional advice should be affordable and accessible for all.

 

Financial Planning time must be reduced

In recent years it seems that increasing regulation has made the process, not the advice the focus.  According to the FPA, this has resulted in advisers taking 26-man hours to consult with a client, create a plan and deliver a Statement of Advice.

 

This is not sustainable for all but high net wealth clients.

 

Fintech’s have been providing improvements to resolve this problem.  Financial Mappers has worked with advisers to develop holistic software which should reduce their planning time by at least half.

 

‘Orphans’ may suffer under financial advice changes

The Future of Financial Advice legislation may have unintended consequences.

 

The increased cost of compliance and the removal of commissions will see advisers unable to service those clients with lower incomes and smaller assets under management.

 

It is estimated that thousands of existing clients may be set adrift to seek financial assistance elsewhere. These orphaned clients will most likely seek online assistance from organizations who have been able to skirt the strict regulatory requirements.

 

Coming Competition from large new “advice providers”

 

Large corporations are setting up to provide piecemeal and general advice initially. Such advice does not take into account the specific financial and life aims of the client, whereas financial advisers must ensure there are no adverse effects of any advice given.

 

This puts advisers at a severe disadvantage to such financial corporations in retaining or attracting new clients over time.

 

Advisers need software to swiftly give holistic advice and engage with clients.  Demographics alone make engaging less wealthy new clients an imperative for practice growth.

 

What these low net worth clients want is piecemeal or scaled advice now, but with time they will become full-service clients.

 

What younger clients want is usually answers to simple questions, like:

 

  • Am I on track?
  • Am I better to pay off more on my investment property or put extra money in my super?
  • What happens if I take a gap year starting 3 years from now?

 

With traditional software and methods, such simple advice is unaffordable for advisers to supply.

 

Not Anymore.

 

How to afford new clients, engage, and build long term relationships

 

The unique magic of Financial Mappers is the sharing of software use between client and adviser.  The client does most of the work, receives reports from the software, and does some basic planning.  Sharing this with the adviser for expert plan adjustment and SOA/ROA generation is simple.

 

CO-PLANNING IS THE NEW BLACKtaking client engagement, education and trust building to the next level.

 

Scott Cundill, interviews Glenis Phillips, the designer of Financial Mappers

 

Scott Cundill is a financial services marketer and interviewer.  He recently interviewed Glenis Phillips about the how the Financial Mappers software is solving adviser problems, bringing practice efficiencies, and new business to financial advisers.

 

Watch the interview:

Scott Cundill interview with Glenis Phillips

 

Glenis Phillips SF Fin

 

 

Disclaimer: Financial Mappers does not have an Australian Financial Services License, does not offer financial planning advice and does not recommend financial products.

I am a founding board member of Plencore Wealth Ltd and Plencore Online Pty Ltd. I am the designer of the product Financial Mappers and Financial Mappers PRO, cloud based modelling software for Personal Finance. This software is sold on the web site www.financialmappers.com.au.I am an educator, investor and expert in both personal finance and mathematical modelling and the author of 'Map Your Finances'.I have both a Graduate Diploma in Applied Finance and Investments and a Diploma in Financial Advising from the Securities Institute of Australia. I also have a Financial Analysis Certificate, by Distance Learning from University of Technology, Sydney. I am a Senior Fellow and Senior Mentor of FINSIA.

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