Navigating the complex world of personal finance can be daunting and overwhelming. So it\u2019s no wonder that many people don\u2019t feel confident managing their money, and often don\u2019t end up making the best financial decisions. That\u2019s why it\u2019s so surprising that so many of us aren\u2019t getting professional and regulated financial advice.<\/p>\n
According to figures from the Financial Conduct Authority (FCA), just eight per cent of the UK population received financial advice in 2020. Although this was up on the six per cent recorded three years earlier, it\u2019s clear that a huge proportion of Britons still aren\u2019t getting the guidance and support they need.<\/p>\n
Working with a professional financial adviser could help confused and uncertain people get the clarity they need, so they can move through life feeling confident they\u2019ve made the right decisions and that they\u2019re well set up for the future.<\/p>\n
In light of the FCA\u2019s figures, a new report by a trade body for advisers in New Zealand makes for interesting reading, as it vividly demonstrates the impact that getting financial advice can have on a person. According to Financial Advice New Zealand, 94 per cent of consumers in the country who\u2019ve received financial advice feel very or reasonably confident in making big financial decisions. By contrast, just 83 per cent of those who hadn\u2019t been advised said the same.<\/p>\n
New Zealanders who\u2019d sought financial advice said they felt better prepared for their retirement than those people who hadn\u2019t (62 per cent vs 40 per cent). Similarly, 59 per cent of people who\u2019d received financial advice said they have a life insurance policy in place, compared with 32 per cent of unadvised people. The study also showed differences in the investment strategies between advised and unadvised New Zealanders, with the former being more likely to have a diverse investment portfolio.<\/p>\n
People\u2019s management of their mortgages was another area of difference highlighted by the research, as 86 per cent of those who\u2019d been given financial advice had reviewed their mortgage in the last year, whereas just 68 per cent of people who hadn\u2019t did the same.<\/p>\n
The study went on to show that New Zealanders who had spoken to a professional financial adviser felt it was worthwhile. For instance, three-quarters said they felt they had a better idea of how to achieve their financial goals, while seven in ten felt they were in a better position to stick to their financial plans.<\/p>\n
The study in New Zealand gives a fascinating insight into how people\u2019s behaviour and attitude towards their finances can change after receiving financial advice. Not only do people feel more confident about managing their money, they\u2019re also more likely to have drawn up a financial plan, review the financial products they have in place and have a diverse portfolio of investments.<\/p>\n
In short, they\u2019ve been able to be more proactive, make better decisions and boost their chances of achieving their lifestyle and financial goals. It just goes to show the benefits that come from working with a professional, regulated financial adviser.<\/p>\n","protected":false},"excerpt":{"rendered":"
Navigating the complex world of personal finance can be daunting and overwhelming. So it\u2019s no wonder that many people don\u2019t feel confident managing their money, and often don\u2019t end up making the best financial decisions. That\u2019s why it\u2019s so surprising that so many of us aren\u2019t getting professional and regulated financial advice. According to figures from the Financial Conduct Authority (FCA), just eight per cent of the UK population…<\/p>\n