There is no doubt that the credit crunch and subsequent recession has increased the importance of the role of an independent financial adviser. With the ’unexpected’ never too far in terms of job security and the current financial well being has never been a more critical time to consult an IFA to really maximize its current and future business or personal financial affairs.
There has been a series of anecdotal evidence regarding the alarming number of consumers in the United Kingdom, reducing the supply of financial services especially in the insurance sector. It is important to reiterate that the house, either building or contents insurance cover is an absolute necessity, and stresses the importance of owners to look somewhere else they need to reduce their costs. A trusted independent financial adviser can help negate these risks, and indeed add real value through their extensive knowledge and experience of product. This experience will provide a financial safety net for individuals and families manage through the recession and to help provide long-term security at a cost that is right for you.
Indeed, the real value of professional financial advice should not be underestimated. To help illustrate this fact, new research has confirmed that 97 percent of clients were reported as saying that they are happy to use a new IFA, or recommend to a friend or family member. The study, conducted by NMG Financial Services Consulting among 534 clients of Sesame – a large network of IFA – during the 12 months preceding April 2009, revealed that the majority ’no doubt’, or ’probable’, using a new IFA and / or recommendations. Overall, 73 percent of respondents chose "definitely", 18 per cent said ’very likely’, and 6 per cent said ’very likely’. The most telling statistic, however, is that only 1 percent of people said ’definitely not’ using your new adviser or recommend to friends and family.
In addition to this recent survey produced by the University Of Nottingham Business School echoed the fact that IFAs are the most reliable people working in financial services today. With an overall rating of the confidence of 75.02, the Forum of Financial Services Research, 2009 the index of confidence, conducted by Nottingham University Business School, found that despite the current economic turmoil, on average, respondents were more confident of financial service institutions that organizations like the NHS and BBC, who scored 53 and 61, respectively.
Financial advisers and brokers have received the highest score – 81.67 – on trust and reliability, followed by investment companies (76.24), general insurance (75.98) and building societies (75 , 22).
From these studies it is fair to say that the vast majority of independent financial advisors can take pride in offering a high quality service. This reinforces the tremendous value that people in professional financial advice and the positive impact this can have on their future financial well being. As lifestyle and changes in circumstances still dominate our lives today the independent financial advisers can help us all adjust to our system and thus provide much needed peace of mind that our finances are concerned about maintaining " unexpected "in the bay.