Futuro Financial Services executive chairman Dennis Bashford said he believes technology has played a role in diminishing face-to-face interaction within the financial advice sector.
“We once knew a significant number of our industry colleagues and their areas of expertise and often would go to them when looking for a professional opinion,” he said.
“Being able to call on mentors with expertise in other areas was something that was highly valued.
“Today, there is much less face-to-face industry interaction with such things as monthly industry association functions and fund managers’ presentations being replaced with webinars, Go-To meetings and video conferencing – all of which largely denies us the opportunity to mix with and get to know our colleagues on a more personal basis.”
Mr Bashford said while some licensees attempt getting their advisers to mingle at such events as PD days, many attendees often leave early.
“Not making the effort to get face-to-face time with your peers denies you the opportunity of developing good professional relationships with others and stifles serious discussion,” he said.
In addition to developing relationships, Mr Bashford believes face-to-face interaction can lead to the sharing of ideas that creates innovation and leads to better client outcomes.
This also prompts other advisers to “do the right thing”, he said.
“It builds a close-knit group where people respect each other. This has a positive effect on the overall culture of the network as people tend to mirror the behaviour of their peers,” Mr Bashford said.
“When people do the right things, then their colleagues are inclined to reciprocate. It creates a sense of community and companionship, something that our industry has largely lost over the past-so-very-difficult 10 years.”
That really depends on the dealer group. If they don’t foster a collegiate atmosphere, then adviser won’t mix.
dealer groups ….. a dying species. Here’s a thought perhaps it’s not the advisers, maybe it’s the dealer group heads themselves…failing to evolve.. would the last one left please turn off the lights.
This has started an interesting debate.. Over the years of having worked in Dealer Group distribution I have seen some groups move away from the face to face PD days and the like to simply save on costs for the DG but also the adviser ( travel etc ). PD days have historically been a forum for DG’s to cover compliance, future strategic direction of the group etc and dare I say it , get product manufacturers in front of their distribution channels… The real / valuable conversations happen over the lunch breaks and afternoon networking drinks where a good PDM would help facilitate a discussion with advisers that share similar challenges and can help each other solve / discuss common gripes and find solutions to these problems.
I’ve worked in groups where they have built peer groups based on stages in their business which has really helped like minded advisers have valuable business critical conversations in a conducive forum.
At the end of the day its up to Advisers to align themselves with like minded advisers and there really is no shortage of events / mediums to do this..
Whilst I appreciate the comments of Dylan, Ray and Steve I think the key item in the article was “face to face” The XY Adviser concept is brilliant and the information and support provided is something that I have found to be very useful in my business. As a sole trader at the moment and someone who has been in financial planning for about eight years I have had some great discussions with other advisers in the past and one in particular took time to mentor me and I still use the information he provided (we were linked to through the AFA Mentoring program). The most useful of these however followed a personal connection which allowed the discussions to go deeper than is usually done on a web based platform and I know a number of the people I have spoken to in the past are now more reluctant to share information than was previously the case with this mostly related to pressures in their own businesses and situations given mentoring on a deeper level takes up a lot of time.
Technology is just a tool the same the fax, mobile phone and internet were/are.
Experience is the most important tool in an advisers kit bag so i hope this article is not indicative of what is happening in the market. At our AFSL we promote sharing of skills and knowledge in all different facets because everyone has something that can add value to someone else. Honestly the most pleasing aspect of our teams day is to assist new advisers start and grow their businesses along with mentoring and guidance to protect them from what they don’t know.
The advice industry hasn’t really been tested since the GFC so its a matter of time. When markets tank, the economy softens then the real value of your advice is exposed.
I think there are a lot of valid points both in this article and the comments. There is a certain freedom and flexibility to be able to communicate via technology that makes engaging with peers more efficient which has become very important given the level of compliance and procedures that advisers now face. That said, in person face to face catch ups cannot be replaced. Research has recently shown that our brains “light up” when we are connecting face to face in person, but this isn’t replicated via video. I am simply grateful that all these options exist.
I have never felt a greater sense of community with other advisers. In the last 2 years alone I have had more guidance, mentoring and interaction from a range of advisers all over Australia. I can pick up the phone, direct message, video call or group chat with a long list of advisers I have developed a professional relationship with. Technology has added to the community we have built. There are countless Facebook Groups where I can have a serious discussion on a platform that allows other advisers to know more about me on a personal level. I can do this because instead of complaining about there being a problem, the community of advisers stood up and changed how we interact for the better.
I’m with Ray and Dylan – at least in the GenXY market… look at what XY Adviser have done to create a ‘marketplace’ for younger advisers. THey started with Face to Face and then moved online via a Facebook Group (which is growing by the day) and they’ve now launch “Master Minds” in each state with multiple locations… which will be a mix of face to face meet ups and online.
Technology isn’t the issue… those that take control of their own development will find a way to connect – technology enhances that – I can connect with my peers interstate, and in the US instantly… And if you want Face to Face…maybe get off your arse (advisers) and organise your own meet up – instead of waiting for a Fundy or LIfey to spono you a ticket to an industry event.
Rant over…..
Couldn’t refute this more.
My experience suggests there is an overwhelming ability for advisers to share awesome things their doing in their businesses. Technology has not impeded this in the slightest. Communities I work with use technology simply to enhance engagement rather than creating shallower relationships.
Perhaps this is the case because the ones who are not engaging are doing so elsewhere, well, they are doing it elsewhere. If you are not surrounded by like minded advisers who are full of the same energy and enthusiasm as you, they’ll find other groups to share insights and share adviser energy with. PD days, etc this is seen more and more with dealer groups with a struggling culture. Mastermind groups and demographic specific communities are where this ideas sharing and collaboration is happening.
Totally agree
The new breed of highly qualified Advisers, despite being qualified to the hilt academically, have very little in the way of soft skills.
They seem to have problems talking with clients face to face without having a laptop on the desk between them, so I am not at all surprised that they are finding it difficult to interact with fellow Advisers.
There is a huge gap in the industry to fill this obvious lack of on the job training that a Sales Manager once helped new Advisers with.
So we need to train Advisers to “reverse the hearse up so that the client can smell the flowers” or
‘disturb” so that “sign ..press down hard and the third copy is yours’. Thankfully there are enough forward thinking Leaders in our industry that the soft skills are all ways being improved and whether an adviser uses a computer/laptop or notepad it doesn’t separate them from building a relationship with the client. This article was ‘noise’ and not a reflection on the industry I work in.Lets address the big issues instead with our outdated remuneration model and the conflict between manufacturers and distributors.