What Does the Latest FCA Survey Reveal?
The latest study from the FCA has revealed some interesting truths about the financial services industry. A new survey has revealed that only four in ten people have trust in regulated financial advisors, and most do not have a private pension. The study has highlighted many areas of concern about people’s financial attitudes.
The new survey from the FCA interviewed 13,000 people. The respondents were asked about their financial habits and opinions. Only 39% of those questioned felt they trusted financial advisors to act in their clients’ best interests. For those respondents living in the countryside, 44% felt trusting of the advisors, but this figure fell to 38% of those in cities.
Around 40% of correspondents felt confidence in the financial services industry as a whole, with 31% feeling that advisors were honest in their dealings. When asked if they had accessed financial advice themselves over the last year, 8% of people living in the South East said that they had, which compares with 6% of the United Kingdom as a whole.
It seems there is currently not much trust in the financial services industry in general across the UK. One thing that might change this is a greater investment in software for IFAs, such as that provided by https://www.intelliflo.com/. This could give more support to advisors and make it easier to deal with clients. If the best software is used, customers would be likely to feel more confident in the service provided by financial advisors.
37% of adults are confident at money management, but only 16% rate themselves as highly knowledge about financial matters. A massive one-third of the people asked do not have private pension provision, and 44% rely solely on the state pension. Three-quarters of people have no investments.
This lack of private pensions means that many people may feel quite poor in old age with only the state pension to rely on. There is much advice online about saving for old age, and the government explains how to plan your retirement income.
People in the North West and those in London had the highest proportion of people who said they didn’t know where to turn for financial advice. Worryingly, for those who have accessed financial advice, one in eight people felt they had been mis-sold a financial product.