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When you think of financial advice, what is the first thing that comes to mind? If you’re like most people, you think of investment strategies, complicated products and market performance. This is natural, but taking control and speaking to a Qualified Financial Advisor about your current financial situation can have lasting benefits on your overall financial wellbeing. Prudent Financial Advisors and their clients tend to look at the bigger picture, recognising that financial planning entails more than just asset allocation, short term gains and complex jargon. Financial Advisors can add value via an overall holistic approach, providing professional guidance and advice on managing your finances and mapping out a plan for the future.

A recent report conducted by Brokers Ireland, using a sample size of 1000 respondents, found that people who availed of financial advice experienced improved financial outcomes. One of the most striking findings of the report was that respondents who availed of financial advice had an average pension pot valued at €128,933, compared to €62,600 for those who did take any form of advice. This represented a 105% difference in those who have obtained financial advice. The effect a comprehensive financial plan has on personal savings is also considerable and this is evident from the survey. The respondents who sought advice on their savings and investments had an investment/savings pot of €81,890 compared to €53,200 for those who have not received advice. In terms of retirement, 29% of retirees who did not use financial advice said they should have prepared better for retirement and 19% of respondents stated they should have started contributing to a pension earlier than they did.

The study also highlighted that people are more likely to have life assurance and income protection in place when availing of financial advice with 55% being more likely to have life assurance in place, compared to 24% who did not acquire financial advice. 20% of respondents were likely to have income protection compared to 6% who did not use advice. This demonstrates that the advised respondents and their families were better protected financially in the event of an untimely death or serious illness.

The report highlights that the benefits of engaging with a financial Broker for advice are clear to see. The value of financial advice is evident by the difference in these figures and illustrates that the advised respondents are better protected personally and financially and are better equipped to proactively deal with opportunities and risks as they arise. They benefit from improved personal and financial protection, more valuable savings and investments, an enhanced pension fund at retirement and a greater understanding of financial products overall.

A good Financial Advisor will always have the best interests of the client at heart and will act with integrity and objectivity, while being competent and fair. A comprehensive financial plan and regular reviews will ensure any financial requirements are catered for, potentially avoiding any shortcomings through professional advice on protection, savings, investment and pension offerings.

Reach out to your local Financial Broker to discuss your current personal financial situation and ensure you are better equipped to reach your immediate and long term lifestyle and financial goals.

Adrian Kelly, QFAis a Qualified Financial Advisor. You can contact him through John F. Loughrey Financial Services by telephone on 074-9124002 or by email on Adrian@jfl.ie