Advisers believe their clients value peace of mind (66 per cent), helping them reach financial goals (40 per cent) and clear communications (38 per cent).
For clients, clear communication was among the top five most valued traits in a financial adviser. But the most important was that their advice or recommendations were in the client's best interests (32 per cent) followed by having relevant skills and knowledge (31 per cent).
Mike Barrett, consulting director at the Lang Cat, said: "This benchmarking exercise is not only good business sense but is now a vital part of consumer duty. However, the research also shows how difficult it can be for advice firms to evidence fair value.
"Value is subjective, and consumers will often combine multiple factors to make their overall value judgement. Some of these factors, such as price and investment performance are easily measurable, but other factors such as peace of mind are less tangible. The regulator should help advisers with good practice examples showing how these aspects should be measured under consumer duty.”
damian.fantato@ft.com
