2020 was a year of considerable challenges and in the wake of Covid-19, a large number of things that we took for granted, both on a personal and business level, have changed. Whilst we still have a lot of challenges ahead, we believe there are a number of areas of opportunity that advisory firms can focus on in 2021 to help diversify and future proof their businesses.
The pandemic has brought sustainability to the fore and the rise of environmental, social and governance (ESG) investing has continued unabated. At Tenet, we can support you to develop your approach in this growing area of advice and our new ESG package of support includes guidance and support on ESG conversations, fact find questions, suitability report wording and a dedicated ESG panel.
Later life lending has also proved to be a growing market in challenging times and according to the Equity Release Council, agreed equity release plans increased by 41% in Q3 2020. Gary Little, Business Development Director at Key Partnerships comments “2021 looks set to be an exciting year for the later life lending industry. It will no doubt get off to a flying start, as homeowners begin reassessing their finances following long periods of lockdown and uncertainty.” Working with our specialist partners, we are able to offer best in market lending solutions to help your clients gain financial freedom in later life, as well as build a robust new income stream.
As we head towards the end of the 2020/21 tax-year, ensure your Enterprise Investment Scheme (EIS) clients are in the best position to benefit fully from their investment. Andrew Aldridge, Partner and Head of Marketing at Deepbridge Capital believes there has never been a greater appetite for supporting early-stage, growth-focused companies, supported by the generous tax-reliefs potentially available, so why not speak to our Technical Services & Research Team for expert support and advice?
You might also like to consider how you can help future proof your business via intergenerational financial planning. Harry Donoghue, Strategic Partnerships Manager at TIME Investments comments “financial advisers need to think about the family as a whole; rather than focusing on the wealthiest generation in isolation as there will be opportunities to help all members of the family who will experience different financial challenges simultaneously.” Working with partners such as TIME investments, we can support you to give the right advice at the optimum time and engage in financial planning on an intergenerational, rather than individual basis.
Finally, some food for thought from a recent report from Octopus Investments, who found that some 15,000 advisers are expecting to retire in the next 5 -10 years, a depletion of nearly 60% of the current profession. With the advice gap set to widen in a world of low returns, where people need set their financial plans in place sooner rather than later if they are to meet the significant costs of a family home, education and a comfortable retirement, this all points to a significant opportunity for quality professional advisers in the years ahead.
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