This I feel, could help close the advice gap alone on a more long-term basis.
But I fear we could just be about to shove swathes of the British population into another descriptively labelled box when we are all ultimately very different with unique circumstances.
What I, and I think many of my peers want to see, is some room to breathe, and be entrusted to operate our businesses and client interactions within our own strong moral frameworks, which will allow us to close this gap once and for all.
Two ways to achieve
There are two ways of achieving this in my view, that will have more profound positive impacts on the advice gap rather than new definitions, acronyms and process choices.
- Technology: Investing in, mandating and effectively utilising cutting-edge technology will assist productivity gains, accurate compliance protocols and free up space for financial planners to work with more clients, to bring the cost down for providing the service. I truly the hope the review gets under the bonnet of how technology can be used to safely and efficiently improve the access consumers so desperately need, without creating a divided system that migrates from ‘the haves and have nots’ to ‘the haves and have a little bit’.
- Values-led approach to regulation: Moving away from the ‘lowest common denominator’ approach to regulation. The vast majority of us go above and beyond the minimums required by our regulatory requirements, simply by valuing the work we do and the positive impact this has on the lives of those who seek our advice. Creating and fostering these cultures within firms and instilling these values in the training phase protects the profession and its ability to operate for many generations to come.
Forgive my skepticism, because I do think this is a positive step to start tackling the issue in question, but I hope the opportunity is seized to allow all stakeholders to flourish rather than leave a gaping hole filled with subjective interpretations.
Adam Cockerham is director and Chartered Financial Planner for William Dixon & Associates Limited
