Re-energising your client base

Many elements are needed to build a thriving financial planning business.

An ASIC study found the top three reasons why clients selected a particular adviser were level of experience, reputation and communication skills. The last criterion involves taking time to understand the client’s goals and the ability to clearly explain concepts and recommendations.

Financial planners who involve their clients’ families in the advice and decision-making process have an opportunity to demonstrate these attributes to family members, which may encourage them to ask for advice on their own situations.

Advisers may talk directly to retiree clients about issues concerning their adult children, such as housing affordability. It can be difficult for advisers to talk about residential property and remain compliant, but they can discuss ways to help adult children to enter the property market. This may be through gifts or loans. But it can also involve financial solutions that would allow the parents to co-invest in property with their children, such as DomaCom’s rent-to-own product or fractional property syndicates.

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