The advice sector in the UK is currently experiencing constant change, if that is through regulatory alterations or technological advancements. During this volatile time financial advice firms have proven to be resilient to the effects. Our report illustrates the growth in the advice sector through the number of clients served. Along with this, we see difficulties surface due to the inefficiencies of core process.
A striking figure that has surfaced through this research is the time taken from 1st contact with the client to the delivery of the 1st piece of advice, the average time sits between three and four weeks. This time frame suggests great inefficiency, whilst highlighting a feature of the advice process worthy of much needed attention. Further to this, the lengthiest step within the advice process is getting information from providers. Along side this extensive three to four week stage, the average on-boarding cost of a single client is estimated above £1,500.
Technological advancements have a promising effect on the efficiencies that lie at the core of the advice process. Our report delves into the adoption of technology solutions along with the corresponding satisfaction. Back office systems, cash flow modelling and risk profiling are all widely adopted within advice firms. However, only 54% of financial advisers have implemented a client portal and are least satisfied with the technology.
You can download the Financial Advice Business Benchmarking full report here.
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