NINE OUT OF TEN ADVISERS SPEND TOO MUCH TIME ON PAPERWORK by dfhercbml

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									20 January 2009

NINE OUT OF TEN ADVISERS SPEND ‘TOO MUCH TIME ON
PAPERWORK’
Most financial advisers (93 per cent) spend less than 15 hours per week
actually face to face with clients - according to results from a recent survey of
independent financial advisers, financial planners, mortgage brokers and
wealth managers.

Commenting on the results, Matt Humphrey, managing director of Capita
Financial Software who sponsored the survey, said: “In the face of a very
tough economic climate advisers are still spending far too much of their
working week on administration and red tape.. Internal administration
consumes a quarter – or more – of the typical working week for more than half
of advisers (51.1 per cent). Meanwhile 83.3 per cent spend less than 10
hours week on marketing and prospecting and time spent on billable activities,
including client searches was less than 20 hours for 90 per cent. Put simply,
advisers are spend far too much time on unproductive paperwork.”

Compliance still accounts for significant amounts of time, with 30 per cent of
advisers claiming it accounts for more than a quarter of their working week.
The big drains on time – more than 10 hours a week on each - were drafting
reports, product research, fund research and obtaining valuations.

The effect of this on firms is clear, with only one in five (19 per cent) deriving
more than half of their income from trail or renewal income, and around 87 per
cent still showing less than half of their income from fees. Worryingly, these
responses were from advisers who have an above average use of their back
office systems – reflecting the firms polled – with over 60 per cent answering
that they use a back office system almost totally.
When asked, “Where would you spend an additional 5 hours per week?” two
thirds responded with either ‘spending more time with clients’ or ‘marketing
and finding new clients’. And, while that’s exactly the right approach few firms
know how to make the change.

That’s why Capita Financial Software and Perception Support, who carried
out the research, have teamed up with other leading providers of IFA
technology to run a series of seminars: Make Time for Change.

The seminars will be held in Scotland, Huddersfield, Birmingham, London,
Gatwick, Bristol and Southampton. They will be short, interactive and
practical, focusing on ideas and efficiencies that advisers can implement
immediately to successfully ‘make time for change’.

Phil Billingham, chief executive of Perception Support, said, “The recent
publication of the updated Retail Distribution Review timetable has set out the
changes that firms and advisers need to make. They need to:


   •   upgrade their qualifications
   •   improve and refocus their client propositions
   •   improve the efficiency of their business


The major challenge ahead is for advisers and firms to make these changes
whilst still running successful businesses in a very challenging environment.”



                                      ends

For further information, please contact:

Business enquiries:
Phil Billingham – Perception Support                          0845 123 3889
Joanne Maling – Capita Financial Software                     02476 839712

Media enquiries:
Caroline Mooney
Capita Press Office
020 7654 2152/0870 240 0488 (out of hours)
caroline.mooney@capita.co.uk
Notes to editors

Perception Support Ltd is a leading practice management consultancy. It works with
independent financial advisers, financial planners and wealth managers to help them change
their business model and make the business more efficient.

Capita Financial Software was formed in 2008 in recognition of the central role advisers play
in the distribution of financial products and services. The company has acquired a suite of
leading adviser tools, including Quay, Synaptic and Webline, and is committed to supporting
independent advice for the long term. Capita Financial Software is part of the FTSE 100
Capita Group, the UK’s leading financial services third party administration specialist.

The Capita Group Plc is the UK’s leading provider of integrated professional support service
solutions. The Group’s service capabilities encompass customer services, financial services,
human resource services, software services, systems and strategic support and property
services delivered to both public sector and private organisations. With more than 32,000
employees at more than 300 offices across the UK, Ireland and India, Capita is quoted on the
London Stock Exchange (CPI.L), and is a constituent of the FTSE100 with revenues for 2007
of £2,073 million.

Further information on The Capita Group Plc can be found at: http://www.capita.co.uk

								
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