Why independence matters
17 June 2024We are all individuals, leading separate lives, making separate choices for each aspect of our lives. Choice has always been important and that's why we are all different. Sitting in an airport lounge recently, it was fascinating to observe passengers move to and fro, each with different attire, ages, destinations, travel bags and attitudes as examples. Each personally honed by their individual life journeys to that point.
I am also sure that the non-tangible aspects of their lives are similarly different, such as when it comes to the way that they approach and manage their financial planning. Some choose a bespoke approach, others an off the shelf approach, with some using an adviser, and some self-managing. Each is different, personal, and chosen to meet a need.
And just like the passengers at the airport, financial planning doesn't stand still, with client needs and objectives evolving over time. Economic and political factors also change over time and can influence the direction of travel. A good example of this is pension annuity rates that have increased significantly over the last 18 months or so, and this has changed outlooks for a few clients.
When using a financial planning adviser, independence can be important to achieve bespoke outcomes. Tied advisers can only recommend products from one marketing group, and we have also seen that some larger, independent adviser firms might use off the shelf solutions to simplify their compliance reporting. Both may offer good outcomes; however, making sure that you are engaging with a program that suits your bespoke needs remains important. 'One size fits all' may not offer the outcome you desire.
As a small independent financial adviser, we have (as you might guess) remained independent, with the business being wholly owned by the directors of the company. This remains important to us in ensuring that we can offer individual bespoke outcomes for investments, pensions and overall financial planning.
However you approach your money decisions, think through what you want to achieve, indeed how you want your financial planning to look as you head towards your destination.
No individual advice is provided during the course of this blog.
Keith Churchouse FPFS
Director
CFP Chartered FCSI
Chartered Financial Planner
Chapters Financial Limited is authorised and regulated by the Financial Conduct Authority, number 402899
