The South African financial planning profession stands at a pivotal crossroads.
Insights from the recent Adviser Barometer 2024/25 webinar, presented by Taryn Duncan of Allan Gray and Mark Polson of UK-based consultancy The Lang Cat, reveal a powerful global trend: the future of advice is moving away from product selection and towards client empowerment through planning-led, relationship-driven models.
For South African planners, this represents not just an opportunity, but an urgent call to action.
Lessons from Global Markets: Beyond Product Sales
Mark Polson’s reflections on the UK market highlight a significant shift:
Advisers who once differentiated themselves based on product access or investment returns are now building their value around the client’s life journey, goal monitoring, and emotional coaching through volatility. Investment outcomes have become a byproduct — not the main event.
Clients no longer “buy portfolios”; they buy peace of mind. They seek advisers who truly understand their lives, fears, and aspirations — not just those who promise superior returns.
South Africa is not far behind. The Adviser Barometer survey found that while product-based models are still dominant here, there’s growing momentum towards more personalised, client-centric advice frameworks. Planners who pivot early will lead the next era of advice.
Why the Time is Right — Now
- Changing Client Expectations
Today’s clients — across generations — want holistic support, not product pitches. They value transparency, personalisation, and ongoing coaching that aligns with their life goals. - Global Standardisation of Investment
As seen in the UK, investment management has become increasingly commoditised through Centralised Investment Propositions (CIPs) and model portfolios. Outsourcing investment functions frees planners to focus on what clients truly value: life planning, financial empowerment, and behavioural support. - Technology as an Enabler, Not a Threat
The rise of AI and digital platforms doesn’t replace the adviser’s role — it enhances it. Technology handles administration and data processing, allowing planners to spend more time building genuine client relationships. - Professionalisation and Future-Proofing
Just as the UK is seeing advisers shift from lifestyle practices to structured, scalable businesses, South African planners who professionalise now — focusing on long-term client empowerment — will be best positioned to survive regulatory changes, fee pressures, and market shifts. - The Emotional Connection Is Non-Substitutable
Products can be bought online. Portfolios can be automated. But trust, empathy, and personal guidance cannot be commoditised. Relationship-led advice will remain indispensable.
A New Model for South African Advisers
The invitation from the Adviser Barometer 2024/25 is clear:
Stop competing on products. Start winning on trust.
Transitioning to a planning-led model means:
- Building client relationships founded on life goals, not investment returns.
- Using technology to automate where appropriate — but keeping the human connection central.
- Helping clients make better financial decisions through coaching and behavioural support.
- Delivering ongoing value through regular check-ins, course-corrections, and shared milestones.
This isn’t just an ethical choice. It’s also a business strategy that aligns with where the global profession is heading — and what tomorrow’s clients will demand.
Conclusion: Be the Leader, Not the Follower
As Mark Polson put it:
“Healthy advisers create healthy clients.”
South African advisers have a unique opportunity to lead this transformation — creating businesses that are more resilient, more rewarding, and more impactful. By shifting now towards a planning-first, relationship-centred approach, you won’t just adapt to change — you’ll shape the future of financial advice.
Reference:
Watch the full Adviser Barometer 2024/25 Part 1 webinar for deeper insights: Watch here.
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