Wednesday, 18 July 2012 11:03
DIY approach cannot replace professional advice says a Financial Planner
Standard Life's latest data - which shows receiving financial advice can boost retirement income - emphasises the need for quality advice, according to a Financial Planner.
The survey by Standard Life, a sponsor of the Institute of Financial Planning, and unbiased.co.uk of 2,000 adults found
the average pension pot of an advised client was £74,554, double the average of a non-advised client who only had £37,277.
Those taking retirement advice made pension contributions of £167 per month compared to those who did not take advice who only made pension contributions of £108 per month.
Advised clients were also more likely to have a private pension as well as a work pension, 39 per cent compared to only 21 per cent of non-advised clients.
Mr Brownridge CFPCM, research and development analyst at IFP Accredited Financial Planning Firm Mazars, said the internet could not take the place of professional advice.
He said: "With the rise of the internet, many people now take a DIY approach to their finances believing they can choose financial products better or cheaper themselves. But as the figures show, this approach can be short-sighted usually because people fail to plan ahead.
"Accredited Financial Planners know the questions to ask and work with clients to agree and put in place a plan of action designed to meet their financial goals. In short, it pays to take advice."
Dave McGovern, head of retail marketing at Standard Life, said: "Like most things in life, when tackling something complex or difficult you'll probably turn to a professional. For many people, decisions about money fall into this complex category. For this reason, more and more people are investing in professional advice."
The survey by Standard Life, a sponsor of the Institute of Financial Planning, and unbiased.co.uk of 2,000 adults found
the average pension pot of an advised client was £74,554, double the average of a non-advised client who only had £37,277.
Those taking retirement advice made pension contributions of £167 per month compared to those who did not take advice who only made pension contributions of £108 per month.
Advised clients were also more likely to have a private pension as well as a work pension, 39 per cent compared to only 21 per cent of non-advised clients.
Mr Brownridge CFPCM, research and development analyst at IFP Accredited Financial Planning Firm Mazars, said the internet could not take the place of professional advice.
He said: "With the rise of the internet, many people now take a DIY approach to their finances believing they can choose financial products better or cheaper themselves. But as the figures show, this approach can be short-sighted usually because people fail to plan ahead.
"Accredited Financial Planners know the questions to ask and work with clients to agree and put in place a plan of action designed to meet their financial goals. In short, it pays to take advice."
Dave McGovern, head of retail marketing at Standard Life, said: "Like most things in life, when tackling something complex or difficult you'll probably turn to a professional. For many people, decisions about money fall into this complex category. For this reason, more and more people are investing in professional advice."
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