How financial advice can make you better off
New research from Standard Life reveals the significant impact financial advice can have on people’s finances and their financial wellbeing.
According to Standard Life, over three-quarters (77%) of individuals who receive financial advice believe that their adviser has improved their financial situation. This highlights the significant impact that financial advice can have on overall finances and financial wellbeing.
The latest research from Standard Life’s Retirement Voice report indicates that 37% of those who received advice estimate that they are better off by £40,000 or more due to professional financial advice.
Additionally, 13% believe their financial adviser has increased the total value of their pensions, savings, and investments by £30,000 to £40,000, while 14% think the advice has led to improvements of £20,000 to £30,000.
The research also shows that ongoing advice provides numerous benefits compared to less frequent consultations. Among individuals who maintain an ongoing relationship with their adviser, 82% reported improvements in their finances, compared to 72% of those who only seek advice on an occasional basis.
Furthermore, 84% of clients who have regular contact with their adviser felt they received good value for money, whereas 79% of those who take advice as needed felt the same.
Individuals with frequent adviser interactions are also more likely to believe their standard of living has improved due to their adviser’s services (74%) compared to 65% of those who are not in regular contact.
The research emphasized the importance of ongoing advice for enhancing financial wellbeing, as 77% of respondents felt confident about their options for using pension savings, compared to 73% overall.
Among retirees, those who seek advice only when necessary are twice as likely to worry about making poor retirement finance decisions (21%) compared to those who are in regular contact with their adviser (10%).
Warren Bright, head of intermediary advised distribution at Standard Life, commented on the research, stating, “In today’s challenging economic climate, saving for daily expenses, let alone for the future, can be difficult. Professional advice provides tangible benefits for those who consult with an adviser—not just in financial terms, but also in terms of confidence and overall financial wellbeing.”
Bright noted that individuals with an ongoing relationship with an adviser are more likely to experience these benefits than those who seek advice infrequently or not at all. He emphasised that with significant structural changes to the advice framework on the horizon, the role of professional advisers in helping to build the financial security and confidence of UK savers has never been more crucial.
He concluded, “Professional, personalised advice will continue to be vital in helping people make informed financial decisions, feel more secure about their financial position, and achieve their long-term goals.”
The report also looks generally at how people in the UK feeling about their finances and how they are preparing for retirement.
It reveals that in an era marked by global instability, rising living costs, and a shifting retirement landscape, financial confidence is under pressure. This is where independent financial advice can come in to help address your financial issues and concerns.
So, if you would like to face the future with confidence and need some financial advice, give us a call today.
Please note:
The value of your investments (and any income from them) 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.
Investments should be considered over the longer term and should fit in with your overall attitude to risk and financial circumstances.