Experienced Paraplanner Christina Georgiou explains why outsourced Paraplanning is not the cut-price budget option some see it as.
Being an in-house Paraplanner is such a privileged role – there’s a high demand for your skills and you can command a high salary and other benefits as a result.
I was an in-house Paraplanner for many years, even before Paraplanning was a word. I had some great roles, where I learned a tremendous amount and built up my experience. Even the not so good roles taught me a lot too.
I joined Argonaut Paraplanning, which provides outsourced Paraplanning, in July 2021. It’s been an adjustment and I had to question my preconceived biases about the quality of the work outsourced Paraplanners provide.
I found that Argonaut’s commitment to raising the standard of advice matched my own, and so, in two short years, I now find myself as co-director with Alan Gow.
What I have noticed is a perception that outsourced Paraplanning is much cheaper than in-house and this is a reason for outsourcing. However, there are significant differences.
Although Lockdown has made us all more flexible, it remains easier for in-house Paraplanners to attend client meetings and be integral to the advice process from the start.
They may also sit on Investment Committees and have compliance duties.
By contrast, many outsourced Paraplanners join the advice process part way through and there’s a wide variation in what they do. Some are report writers, some gather information, and some will do research, analysis, gap filling and help construct advice before writing the report.
I don’t believe that an advice firm should use an outsourced Paraplanner because it’s cheaper.
I believe in the right type of Paraplanner for each firm. If that’s an outsourcer, they can provide additional capacity, experience, a second pair of eyes and will complement a firm’s advice process, potentially saving time and some money too.
Christina Georgiou is a director of outsourced Paraplanning support firm Argonaut Paraplanning. She is a career Paraplanner with over 20 years’ experience.
