Quintessentially Equilibrium

In 2017, Equilibrium launched Libby’s Big Adventure, a workbook and lesson plan training package, with the sole goal of helping children aged 9 and 10 develop their financial, literacy, and numeracy skills.

The program was a huge success, expanding into multiple schools and continuing to thrive today.

However, during our research prior to launching the scheme, it became apparent that although the children’s parents appreciate and understand the need for financial guidance, many themselves were not receiving suitable advice.

A recent survey by Yonder (2023), conducted among 2,000 adults in the UK, found that 72% of respondents believe that getting financial advice is important, rising to 81% among those aged 18-34. (1)

Worryingly though, whilst many young people identify the need for financial advice, only about a quarter of those deemed as Millennials and Gen Z (born between 1981 and 2012) use a financial adviser. (2) Of those born from 1997, 67% now take advice from TikTok and YouTube compared to 24% from financial advisers.

While engagement in investing should be applauded, the Financial Conduct Authority (FCA) has set out new social media guidance targeting unregulated “finfluencers” selling crypto schemes and financial products online.

According to research carried out by Cover Magazine (in collaboration with Scottish Widows), the major stumbling blocks identified by young professionals looking for financial advice were: where to begin, cost, and confusing jargon. Furthermore, the average age of a financial adviser in the UK is 58 which doesn’t discredit these advisers by any means, but it does make it that much more difficult for today’s 20-somethings to find a connection.

On top of this, many financial advisers don’t actively seek young clients as they are perceived to have low asset values and therefore not typically as profitable.

An ‘Essential’ service

Recognising the need for accessible financial planning services, we recently launched our Equilibrium Essentials service offering affordable advice for those with investable assets below £200,000. This service aims to appeal to clients who may not need our full service whilst in the infancy of accumulating wealth.

“The aim of the Essentials service is to offer a tailored solution to match a client’s needs, providing much-needed support at the very start of the financial planning journey,” explains Ben Harrison who qualified as a chartered financial planner two years ago aged 27, and is now responsible for Essentials.

For prospective clients, each will experience the same thorough analysis and discussions at the outset to enable us to determine which service proposition is most appropriate. It is only then that we can make our recommendation, and this will very much depend on individual circumstances.

So, what do you get with Equilibrium Essentials?

Your own dedicated financial planner

During the initial stages, you will work with your planner on your personalised life plan forecast using our Voyant cash flow software. This will include a review of your current position and any changes you expect in the short, medium and long term. Initial advice will then be provided and implemented as agreed.

You will have an annual review meeting (either virtual or in person) to discuss your current circumstances and to reassess what the future looks like. During the review, your cash flow forecast will be revisited to determine whether your financial life plan still looks achievable, and if not, what changes could be made to remain on track and achieve your goals.

As a matter of course, your planner is contactable at any time for no additional cost outside the ongoing fee. This is particularly useful in the early years when you may need to make quick decisions regarding mortgages, childcare, pensions, life cover and investments. It is key that all options are discussed to give you financial confidence as life evolves.

Investment expertise

If suitable, clients will have exclusive access to the Equilibrium range of funds at no initial charge. These are managed by our in-house investment team who have a vast wealth of knowledge, experience and qualifications.

In addition, you will receive our monthly investment newsletter known as ‘The Pulse’, so you can keep up to speed with our views and outlook.

Valuations

You will have access to the Equilibrium portal where you will be able to view the current value of your portfolio at any time.

Client events

Whether it’s our quarterly investment briefings or topical masterclasses, rest assured you will get an invite, or you can watch online.

Affordability

The fee we charge for the Essentials service is reflective of the work we do. The goal is to ensure that those who need financial planning advice can access it without being prohibited by cost and as a result, are not restricted to unregulated TikToks.

Insuring for the future

As part of our holistic approach to financial planning, we not only review a client’s personal protection needs, but we now make recommendations and can arrange suitable protection policies.

There are three main areas to be considered when reviewing the level of protection:

Death

This will be highly relevant in the early years of those with a young family, to ensure the mortgage is repaid should the worst happen and help alleviate the financial burden at a very emotionally sensitive time.

Serious illness

Like life insurance, this will give families the peace of mind that their liabilities can be met should a main income earner become critically ill.

Not working

There is always the possibility that a person(s) may be unable to work for a sustained period. Anybody is at risk of an accident that could hinder their ability to work, so it is key that during this time of recuperation, all regular bills can be met.

We’re here to guide you every step of the way. By offering these services at crucial life stages, we can provide a long-term, holistic approach, giving you the financial confidence you deserve, now and in the future.

This article is intended as an informative piece and should not be construed as advice.

We are here to help

If you would like to know more about our Essentials service or are looking for advice about what protection you may need, contact us here or call us on 0161 383 3335 for a free, no-obligation initial chat

Sources

(1) Conducted by Yonder on behalf of Scottish Widows

(2) smartasset.com