The taboo of families discussing financial planning is fading

Our nation’s stigma around discussing financial planning with our families continues to fade as more people come to terms with the necessity of these frank and honest discussions.

According to AKG’s ‘Future of Advice’ research paper, 40% of respondents reported discussing financial planning with family or friends in the past year. In addition, 29% reported having this kind of discussion in the last month.

Despite this progress, the study also found that 57% of people had not seen a financial adviser in the past five years.

This highlights that work needs to be done now so advisers can capitalise on these increasingly common conversations around financial planning.

More conversations ≠ more business

Discussing finances is no longer the taboo it once was. However, a big question remains for the industry.

How do advisers turn this interest into meaningful relationships?

The AKG report found over two-fifths (43%) of respondents favoured a ‘DIY’ approach whilst 20% were concerned about being targeted by pushy sales techniques.

Similarly, a report by the Department for Work and Pensions highlighted that many people avoid seeking advice because they do not want the stress or anxiety they believe going through the process will bring.

This could be for a variety of reasons. Some may be living with health conditions or dealing with other stressful situations, such as divorce. For many, simple day-to-day tasks, such as work or care responsibilities, left them with little time to explore their options and plan for their future.

Communicating benefits of financial advice is key

Whilst many are shying away from seeking expert advice, those who have met with a financial adviser often have positive things to say.

The AKG’s ‘Future of Advice’ highlighted that 55% of this group said they value the ‘peace of mind provided by their relationship with an adviser’.

A further 48% of respondents said that they benefited from ‘access to ongoing support’ whilst getting ‘ideas on finances and investments’ was valued by 42%.

The research also highlights that whilst some may struggle to find time to meet a financial adviser, 39% of respondents would consider paying for advice at this time. Amongst this group, inheritance planning was the most significant point for 32% of people.

This highlights that the desire for financial planning is there amongst a significant section of the population. Advisers need to ensure they are communicating the benefits and value of financial advice to both existing and potential clients as the demand for support exists and is only set to increase.

The time to act is now

Discussions around financial planning and clients actively seeking out support from an adviser are both becoming increasingly common. This indicates that now is the time for advisers to communicate the benefits of their service and dispel some of the myths potential clients may have about financial planning.

Many of those who have met with a financial adviser value the peace of mind they receive in addition to getting new ideas on finances and investments.

Giving away money during their lifetime is not an option many investors feel comfortable with. Coupled with a seven-year waiting period for qualification, this can make traditional options such as gifts a fairly daunting proposition.

In contrast, Business Relief enables qualifying assets to be passed on free from inheritance tax after being owned for only two years. Perhaps most importantly, this is all done in the investor’s name so there is no loss of control over capital.

Therefore, a Business Relief investment comes with greater control and flexibility than a more traditional investment to mitigate inheritance tax.

As later-life conversations become more common, the opportunity for you as an adviser is there to help your clients explore a range of estate planning options, such as Business Relief.

If you would like to find out more about how Business Relief qualifying investments could work for your clients, please get in touch with one of our team today on 020 3195 3500 or contact


Important Information

Stellar Asset Management Limited does not offer investment or tax advice or make recommendations regarding investments. Prospective investors should ensure that they read the brochure and fully understand the risk factors before making any investment decision. The value of investments and the income from them may fall as well as rise and is not guaranteed. No assurance or guarantee is given that any targeted returns will be achieved. Forecasts of potential future results are not a reliable indicator of actual future results.

Stellar Asset Management Limited of 20 Chapel Street, Liverpool, L3 9AG is authorised and regulated by the Financial Conduct Authority.