The role of a financial planner is complex and diverse. As an adviser, you may wear many different hats on a daily basis, including client relations manager, technical expert, administrator and business owner.
But could that now be changing? Increasingly, multi-adviser companies are seeing the value of separating out the two key roles of a financial planner: client relations manager and technical expert.
Having technical experts who allow the financial planner to develop their relationships with those they’re advising helps the business grow. In addition, it could also shield the business from complaints made by clients unhappy about the level of service they feel they are getting.
Read on to discover five ways your company could benefit from financial planners separating out their role, leaving the technical expertise to paraplanners while they concentrate on client relations.
- Cases are dealt with in a more timely fashion
Financial planners will always need a technical understanding of the solutions they recommend to ensure suitability. That said, when financial planners write suitability letters or carry out technical research, it becomes one of the many other tasks they have to perform every day.
This means they can become distracted or could rush in order to get to a meeting or complete the myriad of tasks they have that day.
Passing the technical research and production of reports to a paraplanner means it is being dealt with by someone who specialises in just that. Writing suitability letters, for example, is not slowed down by client meetings.
In addition, the cost of having a paraplanner produce the suitability letter and associated reports could be less than the cost of your time spent producing them.
- Paraplanners find information more quickly
Finding key points of information from the information that providers send can be daunting. It’s something paraplanners do daily, so we know exactly where to look to find the relevant information needed.
It also means paraplanners are used to the ways different providers present information, and what information they typically send after a request for information. As paraplanners know which providers typically omit certain pieces of information, they can make provisions to ensure time is not wasted further down the line chasing it.
Paraplanners also understand that different providers can use different terms. As an adviser may not be as familiar with these terms, they could spend valuable time finding out what certain things mean.
Overall, paraplanners often take less time to find the relevant facts to produce the suitability letter. This could allow you to make presentations more quickly and keep clients happy with more timely reviews.
- Suitability letters are more likely to be approved
Because paraplanners liaise with compliance teams regularly, they become familiar with what checkers look for in a suitability letter.
If a suitability letter is not classed as suitable first time, the paraplanner will have discussed the reasons to help ensure it is in the future.
Experienced paraplanners often understand the subtle differences within a suitability letter that could help it achieve suitable status with the compliance team you work with. This means you avoid the delays associated with amending the suitability letter or associated information.
- Financial planners can concentrate on client relations
Not having to worry about the production of suitability letters and associated documentation frees the adviser to concentrate on business development. This could be attending networking events or working on marketing strategies that will help grow the business in the future.
Furthermore, it allows them to spend more time with existing clients, something that ensures they fulfil their service agreements.
- Mistakes due to time constraints are reduced
Having someone who can concentrate on the technical elements of advising could significantly reduce the risk of mistakes being made due to time pressure or constraints.
As advisers have a host of other tasks, such as client meetings, dealing with enquiries, and meeting CPD requirements, rushing a suitability letter to get to an appointment is a distinct possibility.
This may increase the chances of a mistake, which could then slow down the process of getting a suitability letter approved.
As paraplanners are less likely to be interrupted or distracted, they can concentrate on producing clear suitability letters that are more likely to be mistake-free.
Get in touch
If you would like to discuss how we could help you concentrate on client relations while we deal with the technical aspects of your work, please contact us online or call on 01472 728 030.