"As we go into 2021, finding new ways to serve an engaged, intergenerational audience will be a priority to meet their differing attitudes and requirements."
The study found that 2020 has been a pivotal year fundamentally altering the adviser conversation, pushing estate planning and the transfer of wealth to the next generation higher up their clients’ priority list, according to over half (55%) of advisers. Similarly, a third (34%) of consumers interviewed say that making plans to pass on their money to their families and inheritance is the main reason they would seek financial advice.
Well over two thirds (68%) of advisers say they have seen more engagement from younger audiences and 23% say there has been greater appetite for ESG/sustainable investing from clients.
Seven in ten (70%) advisers say they’ve seen an increase in concern from clients over funding later life, while almost two thirds (63%) have seen an increase in concerns around income generation, and early retirement (61%). Other areas of concern include pension drawdown (64%) and will writing (57%).
Well over a quarter (28%) say their clients have discussed delaying life events such as downsizing. Supporting family members financially has also been high on the agenda with more than one in five (22%) advisers saying this has been a key topic for discussion, while the same number (22%) have debated possible delays in retirement due to financial uncertainty.
The research also found that more than seven in ten (72%) advisers predict their clients will be more active and engaging in their finances in the months ahead.
John Porteous, group head of distribution at Charles Stanley, said: “It’s been a difficult year for many, with financial plans and investments thrown off course by the market turbulence and the economic impacts of Covid. It’s at times like this that financial advice really pays dividends and our survey suggests this is translating into a surge in demand among advisers.
“During 2020 advisers have been quick to adapt to “the new normal” pivoting high touch face-to-face business models to be able to serve a more diverse client set remotely. And while this has undoubtedly placed a lot of pressure on them, it’s also arguably left them better equipped for the new adviser conversation which is fast emerging. As we go into 2021, finding new ways to serve an engaged, intergenerational audience will be a priority to meet their differing attitudes and requirements.”
