Since setting up the website Money Saving Expert in 2003, Martin Lewis has become one of the most recognisable financial faces in the UK.
Your clients will likely know him from his regular TV appearances and newspaper columns highlighting ways that consumers can save money. And, in 2022, he won a National Television Award for “Best TV Expert”.
As a high-profile figure in the world of financial services, it’s only natural that your clients might listen to his tips and advice. However, a worrying new survey has revealed that more people trust Lewis for money advice than financial advisers and planners. Read on to find out why this might not result in the best outcomes for your clients.
More people trust Martin Lewis for money advice than financial advisers
A recent survey, reported by MoneyAge, asked respondents between the ages of 50 and 90 which financial advice they trusted the most. The results make for surprising reading.
- Martin Lewis
- Friends and family
- Their own online research
- Financial advisers and planners
- Bank managers.
Now, this is not to say that Martin is not a great source of tips and advice. His campaigns on subjects such as bank charges, payment protection insurance, and energy bills have no doubt resulted in positive changes for consumers.
However, when it comes to providing financial advice, your clients are much more likely to benefit from a better outcome by trusting someone who can take their specific needs into account.
When he’s on This Morning sharing his wisdom, Lewis doesn’t know anything about your clients’ personal circumstances. He has no idea what their life goals and ambitions are, their present circumstances and tax situation, their attitude to risk, or the financial arrangements they already have in place.
So, his advice is likely to be extremely broad, aimed at a wide demographic. In no way can it be said to be specifically tailored to your client’s current and future needs.
When a client works with a financial planner – particularly a Chartered firm – they will benefit from high-quality, bespoke advice from a firm committed to excellent service and a strong ethical stance.
When we meet a client for the first time, we’re interested in their hopes and aspirations, and what they want to do with their life and their wealth. Only then can we make specific recommendations to help them to get there. That’s not something “the bloke off the telly” can do!
Online help and advice could also lead to poor outcomes
In the research, those aged 50 to 90 were also more likely to trust their own online research than a financial planner.
This is also worrying, mainly due to the proliferation of misleading content a client might find on the web or social media.
The rise of so-called “finfluencers” has led the Financial Conduct Authority to propose new measures to better police the online promotion of high-risk investments.
And, Wales Online reports that almost a quarter of Brits (23%) admit they’ve lost money following personal finance advice from social media. This has resulted in an average loss of £368.56 per person.
The study reveals that 15% of consumers regret taking monetary advice from social media influencers and an additional third (32%) are yet to decide whether they regret listening to influencers’ advice.
An expert can help your clients make the most of their life
Trusting a TikTok influencer or a journalist for financial advice might be a modern way to seek help. However, a qualified financial planner is likely to lead to a better outcome for clients.
For a start, financial planners must obtain a suite of qualifications in order to practise. We’ve passed many, many exams on our road to becoming a Chartered firm, meaning that our advice and knowledge is second to none.
In addition, clients have recourse and protection in the unlikely event that things go wrong – something they won’t necessarily get from Facebook or ITV.
100% of Sovereign clients would recommend us to family, friends or work colleagues, and 100% of Sovereign clients believe working with us has helped them achieve their financial goals.
We can help your clients to achieve their ambitions with trusted, personal advice.
If you have clients that would benefit from advice, or you’re interested in how you can work more closely with us, please get in touch. Email hello@sovereign-ifa.co.uk or call 01454 416653.
