In today’s ever-changing financial landscape, the future isn’t something we can afford to leave for tomorrow. New government policies, longer lifetimes, new ways to build wealth, and a rapidly evolving world mean the financial goals we all strive towards are shifting.
Recent research titled Not Tomorrow’s Problem conducted by Generation Life reveals that 90% of Australians feel the average person is currently under financial pressure, and sadly, more than 3 in 5 unadvised Australians lack a good understanding of the proposed superannuation concession changes, stage 3 tax cuts, changes to investment trends, and how these can affect their hard-earned money – likely putting them at risk of financial setbacks.
This is not tomorrow’s problem
“Navigating the complex landscape can be overwhelming, so many put off working towards their financial goals or do nothing – the worst outcome of all,” says Grant Hackett, Chief Executive Officer at Generation Life. However, taking action today, means you’ll be in a much better financial position in 5, 10, 15+ years and set up future generations for financial success too.
That’s where the right financial adviser comes in. Having someone in your corner, who not only knows the rules, but anticipates changes, is invaluable. Advisers are tuned into the ever-evolving financial and legislative landscapes. They can help you navigate strategies and new policies, ensuring you’re always in the best possible position.
"Working to set yourself up for success in this context requires long-term thinking and a tax minimisation strategy, which is one of the key things financial advisers help with." – Ben Nash, Financial Adviser and Founder, Pivot Wealth
The value of financial advice
Generation Life’s research revealed that 2 in 3 Australians who currently receive financial advice are happy with their financial situation and they’re almost twice as likely to be happy with their situation compared to those who don’t. Advised Australians also have a better understanding of financial themes and policies that may affect them.
Interestingly, the Mid-Life HNW Parents cohort from Generation Life’s latest research happen to be the most advised cohort and unsurprisingly, the happiest with their financial situation. Quality advice helps to appreciate the value of a holistic investment approach and leverage a broader range of investment vehicles.
"The value of advice is clear and the solution is you" – Grant Hackett OAM, Chief Executive Officer at Generation Life
There is no denying the immense value of financial advice. Over the next decade, it’s likely financial advisers will become even more important in building client wealth. But to appeal to more Australians, it’s important for them to demonstrate value and build trust. Australians at different life stages will have different needs and circumstances too, so it will be crucial for advisers to tailor investment strategies, as we all know there’s no one size fits all.
"Demonstrating financial advice's ROI and value needs to take place throughout the client relationship and include a mix of tangible non-quantifiable (peace of mind and control) and quantifiable (dollars and cents) benefits." – Ben Nash, Financial Adviser and Founder, Pivot Wealth
