You might think you know what a financial adviser does, but in reality, the job involves much more than meets the eye. Thanks to the relationship-focused nature of the job, advisers often take on a multitude of roles, beyond what's stated on their business cards. From being your financially savvy friend, playing matchmaker in family money talks, and even acting as a business coach, here’s a few additional roles a financial adviser might play for their clients.
A teacher
When we think of teachers, an image of someone standing at the front of a classroom instructing children or managing teenagers might come to mind. However, consider this: in every client meeting with a financial adviser, there's an opportunity for clients to gain new knowledge. Financial advisers don't simply invest money without consultation; instead, they engage in thorough explanations to demystify complex financial areas for clients with limited or no finance background.
In fact, in both teaching and financial advice, solid communication and interpersonal skills are paramount: Catherine, a former teacher turned financial adviser, attests to the value of her teaching background. She shares, "My experience as a teacher helped me when helping clients to understand their finances. We all learn in such different ways." Read Catherine's full story here.
A therapist
Whether we like it or not, there is a hugely emotional aspect to dealing with money. For a client, having confidence in a financial adviser is key – particularly when working through challenging times such as divorce or bereavement. It's essential that clients feel open about their personal lives when talking about money to enable their adviser to help them holistically. For this reason, empathetic individuals who are personable and can encourage people to open up make some of the best advisers.
A family mediator
If you've been researching the role of a financial adviser, you've likely come across the term' intergenerational planning.' But what does this really mean?
Intergenerational planning refers to families using their collective wealth to support each other during their lifetimes. Advisers play a crucial role in this, often engaging with multiple family members, managing relationships, and sometimes mediating sensitive discussions. With an increasing life expectancy and societal shifts, the need for planning across generations is only increasing. It provides a great opportunity for advisers to get to know the whole family.
A divorce coach
Money in a divorce can be complicated. Whilst many turn to lawyers in these cases, some also turn to their financial adviser to support their decision-making.
An event planner
As well as helping clients through tough times, advisers are there to help their also support clients with the brighter celebrations in life, often extending their roles to event planners. Recognising life's significant moments, such as marriage, birth, or further education, advisers help clients save and budget for large expenses most effectively, and sometimes get the bonus of being invited to these milestone celebrations, too.
A business coach
Financial advisers understand better than anyone how cash flow is the heartbeat of any successful business, with many running their own. Many advisers now specialise in helping business owners and entrepreneurs, adding a dynamic and often rewarding element to their role and assisting the businesses to thrive. Alex Kell, Director and Chartered Financial Planner at Quayside Wealth Management, provides tailored financial advice for people and businesses. “My relationship with business owners means I’m in it with them too, because I understand their frustrations. Often conversations could occur to simply let clients share their thoughts; other times I might introduce them to our wider network to help them get past challenges that aren’t necessarily solved by financial advice.”
A money coach
Financial advisers aren't just number crunchers; they're like coaches for money. Beyond the balance sheets, they help navigate personal finances, offering budgeting tips and assisting clients to make informed financial decisions. It goes beyond the technicalities of advice: advisers often take on a coaching role to help clients fully understand how to make their money work best for them and empower them to make better financial decisions day to day.
A risk mitigator
Life is never without risk, which can be daunting when it comes to handling our money An adviser can help people identify and handle risks – almost like a financial bodyguard. Harriet Compton, Financial Adviser at Wronski Wealth Management, explains: "Risky scenarios can be devastating in themselves, but having financial pressure on top of that makes a bad situation even worse. By helping clients recognise those vulnerabilities, I can help them set up their safety nets, which would kick in if these situations ever occur. Risk mitigation is 'planning for the plan not to go to plan".
A friend
Last but not least, many clients see their financial advisers as more than just professionals, describing them as friends who support them throughout their lifetimes. A great adviser goes beyond discussing investments; they delve into a client's goals, fears, and personal matters, which are essential for effective financial guidance. This, coupled with fact that these relationships are built over the long-term, often results in friendships made along the way.
So, whilst financial advisers support people with technical financial decisions, there’s also range of roles an adviser fulfils, some of which may surprise you. The advice profession is one that enables you to not only help people with their money, but support people in a multitude of ways, resulting in a highly rewarding – and highly valued – career.