In today's economic and financial landscape, navigating risk has become increasingly challenging due to many factors impacting the global economy and financial markets. The complexities are extensive and quite unlike anything experienced in decades, if ever before. The issues are contributing to the uncertainty and inconsistent market behaviour:
The recent ARF article, 'The wealth adviser exodus has bottomed out (for now),' began with the numbers. "More than 12,000 financial advisers have retired or handed back their registration since the financial services royal commission, which levelled widespread allegations of misconduct against the sector in 2018. The exits represent a 43 percent decline in workforce size in just five years".
The business of financial advice isn't getting any easier. We know. It's an understatement. Turbulent market conditions, escalating client expectations and the rising cost of compliance don't make for a smooth ride.
The changed economic and investing conditions have provided cause for many advisers to re-examine their investment philosophy.
Advisers who follow Dynamic Asset will know that we readily share our thoughts on markets, the economy, portfolio management, and ways for advisers to get ahead.
The Future Fund and a swathe of leading global investors are now lining up to advocate a new approach to investing suited to the prevailing and prospective conditions.
Successful financial advisers require a rare mix of technical and interpersonal skills. A significant part of the client experience is created by how you structure engagement to ensure a positive client journey. One that is empathetic, informative, understood, and pinpoint-focused on their unique circumstances.
All advisers know that difficult client conversations follow when market and economic conditions are most challenging. This article seeks to help advisers clarify their thought processes and approach to managing client decision-making in times of market turmoil.
Financial advisers often use a form of segmentation to match a portfolio to their clients' investment needs. Commonly called 'bucketing', its purpose is to segment and simplify investment components. Advisers and clients are familiar with risk profiling buckets such as balanced, growth, conservative, or single asset-class buckets such as cash, shares, or property.
