Rise in self-licensing to continue in 2023

Speaking to ifa, chief executive of Lifespan Financial Planning, Eugene Ardino, predicted that with many advisers seeking to be in control of their own destinations when it comes to compliance and technology, self-licensing will continue in 2023.

“Larger licensees will continue to provide these self-licensees with the infrastructure, and governance framework that they need, as we have been doing with Lifespan Partnership over the past three years,” Mr Ardino said.

Also on the agenda in 2023 is a continuation of the competition for advisers, as licensees continue to go after a smaller demographic of advisers.

“There are still groups out there with ambitious growth targets. However, most of this will likely be achieved by merger and acquisition, rather than organic growth,” Mr Ardino said.

At Lifespan specifically, Mr Ardino said, “we have ambitions for continued adviser growth in 2023”.

“We are also very focused on our existing community of advisers, and will continue to deliver relevant, tailored service and support across the group”.

Elsewhere, Mr Ardino predicted market volatility “is here to stay”, with challenging economic conditions in 2023 expected to continue to prompt advisers to better articulate the value of the advice that they offer.

“Advisers will need to continue to look for ways to boost advice efficiency, including the ability to respond quickly to changing market conditions, and managed accounts will continue to play a large role in this,” he said.

“The adoption of managed accounts can prove difficult for many practices that have not properly formulated and delivered their value proposition to clients, outside of investment performance.”

Ultimately, Mr Ardino said, “2023 is possibly the first year, in over a decade, where I feel we enter the new year with a greater sense of optimism and certainty”.

“No doubt, there are still significant challenges to be addressed, and the pace of reform might not be as rapid as we might hope. However, things are looking up, the pendulum is gradually swinging back, if not in our favour, then closer to the middle”.