According to recent research, the number of people seeking financial advice has risen, but the overall numbers remain low.
A Rise in Statistics
A survey conducted by Aegon to find out how we make financial decisions discovered that 10 per cent consult a financial adviser concerning their money.
This signifies an increase of 25 per cent in people receiving financial advice; just 8 per cent said the same in 2016.
Similar to the findings of the 2016 survey, 47 per cent claimed to make financial decisions themselves, with 40 per cent discussing financial decisions with their spouse or partner.
Aegon’s pension director, Steven Cameron, claimed the increase in the amount of people seeking financial advice is encouraging. However, the overall numbers remain worryingly low, as only one in 10 of us seek advice.
Last year, the amount of people accessing their pension flexibly via pension freedoms proceeded to grow. Making the best decisions for your retirement finances has huge implications and should only be done with a professional adviser’s help.
One reason for this increase could be a result of pension legislation changes, which have given people more choice in their finances. Financial decisions have become increasingly complicated, and many people now seek help for their retirement options and pensions.
A worrying 32 per cent did not utilise an adviser when accessing an income drawdown.
After the radical changes to the pension rules in 2015, many more of us became responsible for planning our own wealth in retirement.
The Government and Financial Conduct Authority (FCA) have made some guidance and advice more accessible, with a review leading to a range of measures and initiatives to encourage cheaper advice services and allowing the payment of retirement services from pension money.
It is important when considering any investments, pension drawdowns or equity release that you consult with professionals such as https://www.palmermortgages.co.uk/financial-services/equity-release-gloucestershire who offer Gloucestershire Equity Release support and advice.
Employers and providers can occasionally provide basic information, but for difficult, complex and important decisions people have to make financially, they should seriously consider hiring a financial adviser.
In many situations, the benefits of the right advice can greatly outweigh the fees associated with professional financial advice. It is often money well spent to guarantee we do the best for our financial futures.