Australia: Financial advisers push innovation in vulnerable areas
Source: Asia Insurance Review | Jan 2017
Financial advice practices will seek this year to innovate in areas where they consider themselves most vulnerable, according to a joint report released by Zurich Insurance and the Beddoes Institute which carries out benchmarking for financial advice practices.
Financial advisers are positioning themselves for market disruption, with client retention and acquisition a priority, along with a forensic level of understanding of key financial metrics within a practice, reported Financial Standard citing the report.
Zurich head of distribution Kristine Brooks said from 184 practice self-assessments, more than 40% propose to revise their business plan and referral partner strategy. Around one-third of practices plan to revise their client communication plan (36%) as well as their marketing plan (35%).
Heading into 2017, one area of vulnerability lacking a corresponding focus is that of human resources where the underlying business success tools include reward and recognition, staff feedback, performance management and training and development. HR vulnerability has not changed at all in the last 12 months, meaning 20% of advice practices did not invest further in HR capabilities and do not plan to.