View more on these topics

What advisers are saying: A wealth of opportunity


There is a huge opportunity for advisers to get their share of the protection gap through closing it. Oh, and that is an average “per person” gap of £100,000.

Importantly, it ticks all the boxes, contributing to: visible repeatable revenues, high margin, client retention and good cash flow. But closing it will require understanding, confidence and fluency based not just on thorough protection know-how but some really on-the-button business nous, communication adeptness, all underpinned by tax and trust expertise. 

Tax and protection, in particular, require better understanding, what with TAAR, GAAR and all that jazz.

Their combined effect on planning is significant and while getting it wrong costs (the client and the adviser if certain lines are crossed intentionally or otherwise), getting it right can deliver benefits that are really worth paying for. That HMRC views protection policies in trust favourably and not at all abusive – they do not reduce tax but are tax-effective – further underlines the client and business benefit.

So we are good to go in principle but, while nearly all advisers we spoke to recently claim to take a holistic approach to planning, wealth management protection seems rather under-cooked – with 44 per cent of advisers failing to routinely incorporate it in planning. 

Eighty per cent agree protection should be part of the wealth creation/preservation process but only 40 per cent see a significant opportunity. For the most part, perceived client inertia and cost were two very inter-linked barriers. Furthermore, the underwriting of protection was seen as a brake, particularly relating to IHT protection where more stringent health checks are typically in place. 

But like most worthwhile opportunities, they will not come easily and pro-activity is required. Engagement will depend on successful articulation of the risk, painting pictures of a future the client does not want and the creation of justifiable anxiety.  That does not happen by accident and will depend on a more intentional approach.

We will look at how next week but first a question paraphrased from something Seth Godin blogged a while back.

When you think back to the last 10 years of your career or your company’s history, how much of what you have not achieved is due to missed opportunities (the proposition you did not launch, the service you did not choose to incorporate and the effort you did not extend) and how much is the result of doing your assigned tasks poorly?

____ % missed   vs  ____ % incompetence

Now, compare those percentages with where you spend your time, your focus and your anxiety.

Phil Wickenden is managing director of So Here’s The Plan


Extracts from IFA interviews…




Advisers escape FCA approved persons regime shake-up

Advisers have escaped being caught by reforms that would have seen the entire approved persons regime scrapped and replaced with a new regime. In its response to the parliamentary commission on banking standards, published yesterday, the FCA states that the new regime will only apply to deposit-taking institutions such as banks, building societies and credit […]


Govt extends Equitable Life payments deadline to 2015

The Government is extending the Equitable Life Payments Scheme to the middle of 2015 as it steps up attempts to trace policyholders. The payouts scheme was due to end in April 2014 but the Government says it wants to maximise payments to those who lost money. In June 2011, the Treasury began distributing compensation to […]

Allianz Technology Trust – April 2017

Welcome to the latest update for Allianz Technology Trust PLC from the Trust’s portfolio manager, Walter Price. Portfolio review The Trust’s NAV returned 4.3% , outperforming the Dow Jones World Technology Index return of 2.8%. In US dollar terms, the portfolio gained 4.8%. During the month, stock selection contributed to relative performance, and industry allocation […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm