Thriving Through Turmoil for Institutions

FE fundinfo Financial Adviser Survey 2021

This FE fundinfo research was conducted throughout November & December 2020 and January 2021. It consisted of 45 questions and was completed by 250 financial advisers over this period. It spanned a broad range of subjects including the impact of the Covid 19 pandemic, business drivers, revenues, new business opportunities and overheads for firms, regulatory changes, trends in investing, outsourcing and this year with a particular focus on retirement propositions and ESG investing.

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Key points

• 58% of advisers feel more positive on their business outlook than 12 months ago
• Regulation still tops the charts as being the largest business concern, followed by cost pressures, exacerbated by rising PI premiums
• Covid-19 has prompted greater remote working and investment in technology to serve clients, potentially bringing in more efficient ways of working
• The implementation of centralised retirement propositions has increased during 2020
• Two thirds of advisers report an increase in the amount client money invested in ESG over the past 12 months
• Advisers still feel their clients lack a full understanding of what ESG investing entails and some of the contradictions that may exist
• 91% of advisers now actively incorporate ESG factors into their investment propositions, or plan to do so imminently
• There remains a shortage of products and solutions to support retirement advice and there is a growing need to help clients stretch smaller pots over longer life