More than four in five (82%) people who have a financial adviser believe it represents ‘value for money,’ according to research from Scottish Widows.
The figure is an increase of 10% from the 2023 edition of the Scottish Widows Investor Confidence Barometer.
The upward move in apparent satisfaction coincides with the implementation of the FCA’s Consumer Duty requirements within advice firms.
Other notable findings from the report were that advisers and clients agree that ‘accessibility is paramount’. Nine in ten (90%) advisers surveyed believe being contactable is important, with almost all (96%) advised clients questioned agreeing with this.
The same figure of 96% of advised clients said they consider portfolio performance a top priority.
Broadening the subject matter out, the Scottish Widows researchers found geopolitics is concerning advisers, and they are ‘taking fewer risks’ than last year as a result.
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Four in ten (40%) surveyed advisers cited geopolitics as the biggest risk to equities.
The previous report found that more than three-quarters (77%) of advisers said they expect equities to rise over the next twelve months. In 2024, that number has dropped to 64%.
Investors are more worried about inflation than geopolitics, with one-third (33%) of surveyed non-advised consumers and 31% of advised consumers saying they think it is the biggest risk to equities.
Advisers appeared much more confident about equities than investors over long-term horizons.
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Over five years, the vast majority (89%) of advisers expect markets to rise compared to just 63% of advised consumers and 57% of non-advised consumers.
Similarly, over 10 years, 91% of advisers expect markets to rise versus 68% of advised and 57% of non-advised consumers.
Ross Easton, Scottish Widows Platform, head of platform proposition said: “This survey emphasises the difference that advisers make for their clients, especially when it comes to guiding them through times of market volatility.
“Our barometer has consistently found that advised clients are more confident than non-advised investors, setting them up to benefit from market corrections and recoveries when others are more cautious.
“It’s also clear from our research that advisers believe that having cutting-edge tools helps them to showcase the value of advice to their clients via coaching on stock market trends and scenarios.”
