The Elusive Search for Risk Advisers: An Industry-Wide Challenge

In the current landscape of financial advising in Australia, a growing predicament looms large - the scarcity of risk specialist advisers. This unsettling trend has gradually transformed into a daunting challenge for individuals seeking expert guidance in this critical domain.

A revaluation of the industry's approach to risk advice is needed.

Risk specialist advisers work closely with clients to identify risks and opportunities, build mitigation or contingency plans and develop future strategies that directly impact their current situation and leverage risk to their advantage. Over time, a substantial portion of Australian advisers has veered away from offering risk-related services. The complex nature of risk advice, coupled with evolving remuneration models that often undermine its integration into conventional financial planning practices, has led to a stark decline in advisers willing to tackle this crucial aspect.

Amidst this backdrop, individuals and businesses grappling with risk-related concerns who are in search of risk advisers, find themselves with limited options. The challenge is no longer merely securing advice but finding advisers with the expertise and willingness to provide it. Risk advice has taken a backseat for many advisers, leaving a void in the realm of comprehensive financial planning.

As the numbers of risk advisers continue to dwindle, addressing this issue has transitioned from being a matter of choice to an industry-wide necessity. Ensuring access to specialised risk advice is essential for financial stability, prudent decision-making, and securing financial future.

The challenge now lies in finding effective strategies to revive the provision of risk advice within the industry and bridge the gap between the demand for these services and their dwindling availability.