Advisers need to ‘stay ahead’ of investment options

Nick Raphaely, CEO and co-founder of AltX, said that because traditional debt and equity investments are no longer achieving desired outcomes, advisers must “stay ahead” of all options, including those already being embraced by self-directed investors.

“Financial advisers have been forced to make significant changes – to their fee models, professional education requirements and client duty of care – and in some cases their licensees have exited the industry,” Mr Raphaely said.

“At the same time, the available universe of investment options has expanded – and many high net worth or sophisticated investors know that.

“They expect more from their advisers than ever before.”

Mr Raphaely added that the next generation of investors is trusting new tech platforms as much as financial planners, so the industry must be aware of all options.

Mr Raphaely’s comments come after Adele Martin – certified financial planner and the founder of the Savings Squad Podcast and My Money Buddy – who said Millenials demand a different kind of relationship with their advisers on the latest episode of the ifa Show.

“They’re [Millennials] going to get the inheritances, but even before the inheritances, they have to deal with putting their parents maybe in a nursing home. That’s very complicated, they don’t know how to do that,” Ms Martin said.

“Looking at their own situation and thinking how long are they going to need to work, thinking about their kids and wanting to help them buy a house, how are they going to do that and still retire themselves? They’ve got a lot of issues that they need help and support with.”

Listen to the full episode with Ms Martin here.

Neil Griffiths

Neil is the Deputy Editor of the wealth titles, including ifa and InvestorDaily.

Neil is also the host of the ifa show podcast.