How important is retirement planning advice?
Increasingly, people view their pension pot as their most important asset. At the same time they increasingly need to take responsibility for their own retirement, rather than rely on the State. Yet the rules on pensions are incredibly complex and this is particularly problematic for those whose residency will change.
It’s therefore important to give careful consideration to both, where their pension is situated and any double tax treaty with the country they will reside in when they decumulate.
What does the experience of RDR in the UK tell you about the future for other jurisdictions?
RDR in the UK led the world in terms of consumer protection. Largely this involved improving transparency and clarity, introducing higher standards and qualifications, and commission disclosure or its full removal.
However, the speed of progress is variable. Singapore and Hong Kong have seen significant change in recent years, with South Africa close behind. The UAE Insurance Authority is now looking to catch up too.
What are the similarities and differences across the regions you cover?
Common to all jurisdictions is the need to take advice and to understand the opportunities. Every market is a little different with its own conventions, rules of residence and domicile. As an expat, it is important to understand the jurisdiction and what can and can’t be done there. We can’t use one product solution for all countries across the globe as we need to ensure they are appropriate to each jurisdiction as well as being client specific.
What is the future of the international financial services market?
The need for financial advice is as big as it has ever been. No country is simplifying its tax rules, so the need is greater than ever. Clients are increasingly aware they need help, but are turning to the internet, which is rarely helpful in these complex areas. This is a great market to be in if you are knowledgeable and skilful. Selling products is old-fashioned – it’s now all about delivering solutions to clients’ problems. Clients can get it accidentally wrong, or accidentally right, but why not get it deliberately right by taking advice?
