More than three quarters (77%) of the advisers we recently surveyed believe how the profession works has changed for the better compared to pre-pandemic times.
The primary shift has been in the rapid adoption and development of remote advice. It was driven at the time by necessity but we quickly learned advice didn’t have to be in-person to be effective.
The majority of advisers (76%) also reported their clients appreciate having the choice of meeting in person or via video call. Even for those advisers who are not in favour of remote meetings, most (62%) agree their clients appreciate the option.
Just 10% of advisers now carry out all their meetings using video calls, while another 10% don’t use them at all
In my experience, nearly all advisers now use remote working in some shape or form. For example, some are moving to digital information collection and fact finding now they do not need to be in the same room as the client.
Many firms have also adopted digital risk profiling questionnaires and offer digital signature functionality. Clients can still have time with their adviser but this can happen remotely, offering efficiency benefits for the business.
That said, there is no one-size-fits-all solution, and that’s as it should be. Clients are unique individuals. Just 10% of advisers now carry out all their meetings using video calls, while another 10% don’t use them at all.
While those advisers who think how we work has changed for the better are naturally more likely to use video calls for client meetings, 73% still do so less than half the time.
Nuances we take for granted when speaking in-person, such as non-verbal cues, may be missing on a video call
However much advisers are adopting tech, they are clearly keeping in close contact with their clients to gauge their needs and interacting with them in ways that work for everyone.
Financial planning can be a difficult process for clients to navigate. They’re required to share lots of very detailed information, think about things they may not have previously considered (perhaps even things they don’t particularly want to) and make decisions.
It can be hugely rewarding and reassuring when the plan comes together but getting there can be testing and emotive. Carrying this out remotely can add an extra layer of difficulties for both adviser and client to navigate.
For example, nuances we can take for granted when speaking with someone in person, such as non-verbal cues in one’s body language or facial expressions, may be missing on a video call. There’s a greater chance for misunderstandings and misinterpretations, especially when one party has hearing or sight issues.
It is crucial to remember that anything which might impede good, clear communication comes with a risk
Then there are other hurdles, such as where an adviser is used to using a notepad and pen to illustrate something in front of the client.
We know from our own research that emotional factors, such as believing their adviser is acting in their best interests, play a major role in developing client trust that underpins the whole relationship. Communication is, in turn, essential for that to happen. So it is crucial to remember that anything which might impede good, clear communication comes with a risk.
All these challenges can be largely overcome, however. Screen sharing and document libraries are standard tools. As more advisers get confident with online meetings, they’ll also develop their use of available collaborative tools, such as virtual whiteboarding. These help clients and advisers work more efficiently and productively in meetings, even where they are not together in the same room.
The key is in finding the right balance for clients and the business alike, and remaining flexible for individuals
Hopefully, we will soon see more effective integration of different communication channels, such as email, instant messaging, video conferencing and social platforms, allowing users to switch between them effortlessly during meetings.
There will always be certain clients and certain meetings where face-to-face is the most appropriate option. The key is in finding the right balance for clients and the business alike, and remaining flexible for individuals.
But now, as we can stand back and take a more objective look, the potential is clear for positive, productive remote meetings where relationships and trust can develop.
Chris Law is head of UK sales at Morningstar Wealth
