Celebrating and providing for the generations – Part 2
May 2, 2017

It’s a numbers game in the world of the independent financial adviser. That sounds obvious because you’re dealing in pounds and pence, percentages and statistics. But it’s also about relative ages of your clients, and the ages of their relatives, for that matter. Take a look at the broader picture and consider investing in some legacy planning, whereby you work on advising across the generations.

First though, did you know that a recent Vision Business Advisers survey of 600 UK investment advisers found that the average age of advisers was 58, with the oldest 77 and the youngest 31? There may be a tendency to think of an ageing population of IFAs, but another survey, by Russell Investments, also found that a sizeable proportion of advisers work predominantly with clients in the 70 plus bracket. This may not be surprising, given that people often start to think about getting advice as they approach retirement age, say in the late 50s, and then stay with their adviser for other matters when they see the value and find they’re in safe hands.

Now though, especially with the introduction of the new pension freedoms, IFAs have great opportunities to appeal to a younger demographic who may be flummoxed about their options if they don’t get trustworthy advice. Could you ask your older clients for permission to contact their offspring with a view to extending the advisory relationship across the family? You need to handle this sensitively, constantly developing a client-care centred approach.

The more the respective generations are involved, the greater the scope for really getting to grips with the nuts and bolts of issues such as inheritance and potential tax implications, too. Look out for our next blog where we’ll delve deeper into some research on inheritance.