3 meaningful ways financial planning adds value to your clients

Man and woman speaking to financial planner

Building connections with professional financial planners can help you offer a unified experience to your clients. Positive working relationships with other professionals can allow us all to give our clients a high-quality, holistic service.

There are many situations in which a client may need to see several different professionals. If they are about to start divorce proceedings, for example, they may need:

  • Legal advice surrounding the divorce, the separation of assets and issues involving children
  • Financial planning advice to help prepare for the future or deal with any pension sharing issues
  • An accountant, for tax advice.

It can be difficult to convince clients about the value of financial planning. In fact, a survey published by Professional Adviser revealed that only half of people would seek financial advice.

Read on for three meaningful ways financial planning could benefit your clients.

1. The financial benefits

Perhaps the most obvious benefit of financial planning is that it can benefit clients financially in the long term.

The International Longevity Centre report, ‘The Value of Financial Advice’, revealed that seeking out professional financial advice between 2001 and 2006 led to an average wealth increase – namely, in financial assets and pensions – of £47,706 by 2014/16 when compared to people who had not sought advice.

Although the report showed a substantial benefit to wealth from one-off professional advice, the real advantage lies in longer-term advice.

Those people who had taken advice towards the beginning and end of the study were found to be an average of 61% better off than those who only took one-off advice at the outset.

2. The emotional and wellbeing benefits

When clients begin their journey with a financial planner, they are probably most likely to base their decision on the potential financial benefits. They may, for example, want a professional who can help them retire on their terms, invest in the best way, or secure their inheritance for their family.

While financial planning can help them with these matters, it also does a lot more. A good financial planner will help a client build the lifestyle they want, have confidence in their and their family’s future, and relax knowing that things are taken care of. In this way, financial planning can bring with it many emotional and wellbeing benefits.

It’s widely accepted that there’s a strong correlation between financial and mental wellbeing. A major Royal London report has revealed that professional financial advice improves a person’s emotional wellbeing by helping them feel more financially secure.

“Our latest research reveals that professional advice offers so much more to customers than just practical, financial benefits,” say Royal London. “It also helps to improve their emotional wellbeing by making them feel better about their money and themselves – especially in times of crisis.”

Source: Royal London

The research found that people who worked with a financial planner felt more in control of their finances, more prepared to cope with life’s shocks, and more confident about the future.

The report also found that clients who knew their planner well and spoke to them on a regular basis were even more aware of the emotional and wellbeing benefits.

3. A trusted and skilled partner

Building a trusted relationship with a financial planner over time gives a client peace of mind that a highly skilled, qualified professional is taking care of their finances.

A qualified financial planner has a wealth of knowledge and experience. In the same way as you might have trained for years and gained various qualifications to be allowed to work in your specialism, a financial planner must go through the same level of education and growth.

With a professional financial partner they can rely on, a client can relax about their finances and focus on other areas of their life and work.

Many clients regularly invest in high quality solicitors, accountants, and other qualified professionals. Working with a financial planner could help them to build their wealth for the future and achieve all their life goals.

Get in touch

If you have clients that would benefit from financial planning, or if you’d like to explore how you might work more closely with us, please get in touch. Email [email protected] or call us on 0345 505 3500.

Please note

The value of your investment can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.