Some 17 per cent of respondents also said they valued their adviser’s ability to “help facilitate difficult conversations about finance across the generations”.
Involving the different generations
Smith-Hughes suggests that the widespread adoption of video calls since the pandemic may be helpful in this context. It is often more practical to bring people together for discussions via video than in person, he says, so that complex or sensitive issues can be addressed openly, with the adviser acting as an impartial ‘chair’ to facilitate the discussion. “Video calls seem a very sensible way to start bringing other members of the family into the conversation, so that everyone knows what the intention is,” he explains. “It’s the job of the skilled adviser to initiate those conversations, make people as comfortable as possible and ensure everyone has bought into the overall plan. Talking about will planning, where and how pension death benefits are paid and also the importance of using a power of attorney will automatically bring additional generations into the conversation”.
Creating a financial plan that can address the needs of the different generations, particularly in a blended family, may require innovative thinking about property assets, tax planning and the use of discretionary trust structures, for example.
How experts can help
Advisers can draw on a wide range of support from M&G Wealth to help families address these complex situations, not least the Family Wealth Unlocked report itself, which offers an authoritative overview of how these clients view their finances.
The company’s technical centre has calculators and tools such as an inheritance tax modeller, a range of trust structures, and information and articles that advisers can use as conversation-starters with their clients. Technical specialists are also available to help advisers with complex client situations.
Finally, while fees are not always the most important consideration for families seeking advice, M&G Wealth’s family linking facility on its platform can cut the overall cost of investing for families where several members have accounts.
At a time when financial pressures are weighing on many minds, the report offers a timely reminder of how valuable skilled and impartial advice can be for many families.
