A growing number of financial advisers feel more confident about the current economic climate, according to Aviva’s second quarterly Hot Issues Tracker.
23% feel that the state of the economy is positively affecting their business, compared to 15% in June. Also, only 16% of intermediaries believe that the new political agenda is a significant business concern compared to 22% in June.
Greater confidence in the macro economic climate has encouraged intermediaries to focus on their own businesses by looking to increase profitability (26%) and develop their business models (18%). Indeed, 42% of advisers believe their revenue will increase over the next three months. With more effective technology cited by one in five advisers as increasing business profitability, a growing number are looking towards platform adoption (7% compared to 3% in June) and 10% are planning on installing new technology.
With their future business success in mind, generating new client leads is one of the most important things on the intermediary agenda for the next three months (35%). In line with the research carried out in June, advisers still think personal relationships are key. Indeed 86% still found referrals from existing clients the best way to generate new business.
However an increasing number (42% compared to 18% in June) said they also relied on referrals from other professional advisers such as accountants and solicitors. With the growing number of intermediaries looking to develop their business models ahead of the Retail Distribution Review, the number of advisers who said the size of their business will either remain the same size, or will expand or diversify is high at 86%.
Simon Badley, director of intermediary at Aviva, said: “After a period of significant instability
