{"id":4801,"date":"2010-02-10T00:20:56","date_gmt":"2010-02-09T13:20:56","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=4801"},"modified":"2020-02-06T08:08:11","modified_gmt":"2020-02-05T21:08:11","slug":"advisers-should-rethink-sell-advice-dont-give-it","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2010\/02\/10\/advisers-should-rethink-sell-advice-dont-give-it\/","title":{"rendered":"Advisers Should &#8216;Re-think&#8217; &#8211; Sell Advice, Don&#8217;t Give it"},"content":{"rendered":"<p>Advisers should\u00a0rethink their\u00a0client value proposition,\u00a0in which\u00a0advice is sold to their clients, not given.<\/p>\n<p>This is one of a number of\u00a0key messages delivered to capacity audiences during the AFA&#8217;s GenXt Roadshow 2010.<\/p>\n<p><!--more-->While the messages in the roadshows are being delivered mostly\u00a0to the new generation of advisers,\u00a0presenters have been encouraging all advisers to consider and potentially &#8216;renew&#8217; the\u00a0nature of their relationship with their clients.<\/p>\n<p>For example, <strong>Graham Peatey<\/strong>, founder of the <a href=\"http:\/\/www.encoregroup.com.au\/\" target=\"_blank\" rel=\"noopener noreferrer\">Encore Group<\/a>,\u00a0asked advisers to consider the price that should reflect\u00a0the value of the advice\u00a0they provide, rather than simply being told by the product manufacturers how much they will be paid in selling their products:<\/p>\n<p>&#8220;Product is just a commodity,&#8221; said Mr Peatey. &#8220;We sell advice, we don&#8217;t give it.&#8221;<\/p>\n<h6>The future for advisers lies in providing advice, not selling products<\/h6>\n<p>This theme was\u00a0echoed by AFA CEO, <strong>Richard Klipin.\u00a0 <\/strong>Talking to advisers about &#8216;Life after Ripoll&#8217;, Mr Klipin said &#8220;The future for advisers lies in providing advice, not selling products.&#8221;\u00a0 He added this was particularly the case in 2010, given that advancements in technology provide consumers with ever-increasing direct access to products and their PDS&#8217;s.<\/p>\n<p>Mr Klipin suggests the true value of the\u00a0advice provided to clients lies in:<\/p>\n<ul>\n<li>The ability for the adviser to help their clients to understand their financial and lifestyle choices<\/li>\n<li>Helping clients make decisions that best reflect their financial and lifestyle aspirations<\/li>\n<li>Educating and motivating clients to involve themselves in this aspect of their lives<\/li>\n<\/ul>\n<p>Addressing another key element in the future advice proposition, AFA President, <strong>Jim Taggart<\/strong> and <strong>Mark Sinclair<\/strong>, MD of Mentor Education and <a href=\"http:\/\/www.rg146courses.com.au\/\" target=\"_blank\" rel=\"noopener noreferrer\">RG146 Training Australia<\/a>, talked to advisers about the initial and ongoing training and education options they may want to consider in the future, and also\u00a0addressed some of the\u00a0moral questions that will inevitably confront advisers as they deal with different client circumstances.<\/p>\n<p><strong>Errol Woodbury<\/strong>, Director of Woodbury Financial Services, shared his journey, which he says has yet to be completed, towards\u00a0a fee for service proposition.<\/p>\n<p>Continuing one the key recurring themes of the roadshow, Mr Woodbury talked to his fellow advisers about how he\u00a0has built a business\u00a0 that is paid to give advice.<\/p>\n<h6>&#8230; advisers can best build trust by listening to their client&#8217;s story, not by telling their own<\/h6>\n<p>Mr Woodbury also emphasised the imperative\u00a0of client trust, telling the audience that advisers can best build trust by listening to their client&#8217;s story, not by telling their own.<\/p>\n<p>The 2010 AFA GenXt roadshow is being presented at a time when the financial advice industry is on the cusp of change.\u00a0 The\u00a0eleven recommendations from the Ripoll Inquiry have been tabled, but it is\u00a0not certain\u00a0which of these recommendations will be adopted by the Federal Government.\u00a0 The industry also awaits\u00a0recommendations from the Cooper Review on Superannuation and the Henry Tax Review.<\/p>\n<p>Outcomes from\u00a0these inquiries will change the face of financial advice in Australia, and this year&#8217;s GenXt presentations have considered what may be the future structure of advice and the potential changes to the\u00a0relationship that exists between adviser and client.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Advisers should\u00a0rethink their\u00a0client value proposition,\u00a0in which\u00a0advice is sold to their clients, not given. This is one of a number of\u00a0key messages delivered to capacity audiences during the AFA&#8217;s GenXt Roadshow 2010.<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[241],"tags":[],"class_list":["post-4801","post","type-post","status-publish","format-standard","category-conferences-and-events","headers-new"],"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/4801","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=4801"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/4801\/revisions"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=4801"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=4801"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=4801"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}