NextWealth Financial Advice Business Benchmarks Report 2025 - Report - Page 28
NextWealth Financial Advice Business Benchmarks Report / October 2025
Conclusion
Tuning the advice engine
If there’s one constant in 昀椀nancial advice, it’s change. Regulation, policy change and client expectations alter the external conditions.
The 昀椀rms that thrive are those with an engine they can 昀椀ne tune in response: clear playbooks, clean MI, and a bias for simpler, reliable
components.
Across the 昀椀ve core components we have seen:
Clients: the intake
Con昀椀dence is highest here. Nearly half (47%) of respondents
say they are working with more clients this year. Segmentation
is shifting toward ongoing advice needs, and vulnerability is no
longer a one-time 昀氀ag but a continuous design brief for clearer,
more usable communications.
Markets & regulation: the rev limiter or the
traction control?
Consumer Duty remains the change engine; RIAR sharpens
retirement evidence. Regulating for growth aims to free
capacity without loosening standards.
Tech & ef昀椀ciency: the mechanics
A centralised approach to the investment proposition is now
the norm, and further growth is anticipated in the use of
discretionary model solutions.
A 昀椀rm-wide, consistent approach to retirement planning
is less common. The usual hesitation is a desire to tailor to
individual needs. These aren’t in con昀氀ict: a CRP sets a common
framework within which advisers tailor the outcome to each
client. Consistent where it should be; bespoke where it matters.
Upgrades are common; integration is the grind. Integration
only works when the data model is right: shared 昀椀elds and
de昀椀nitions 昀椀rst, API’s second.
Benchmark, then tune
Use the benchmarks to locate drag, pick one adjustment, and
measure the impact. We’ve linked relevant reports and guides
to help you drill into speci昀椀c topics and see practical examples.
People & capacity: the engine room
Hiring intentions have softened and the vacancy mix has
shifted. Just over one in four 昀椀rms (27%) plan to grow by
adding to their human resource base, a sharp fall of 13
percentage points or around one-third, from 40% last year, but
that’s perhaps less about shrinking ambition and more about
recalibrating in a tech-driven era.
Which component of your advice engine is your
biggest opportunity for 2026?
Business strategy & growth: the gearing
Less M&A appetite; more focus on organic levers. With ageing
client banks, a level of net new revenue is required just to hold
speed. Data is the fuel: higher satisfaction with data use aligns
with stronger commercial con昀椀dence.
28
