Leading Paraplanner and former President of the PFS Caroline Stuart shares her tips on networking at events for those a little apprehensive of meeting new people. A full version of this article, which has been inspired by a LinkedIn post, will appear in the Sept-Oct edition of Financial Planning Today magazine. 

September is the beginning of financial services Conference Season, but for many, the thought of going to an event, particularly alone, can be at best daunting and at worst, bring them out in a cold, terrifying sweat.

I’ve never been a natural networker and always seemed to feel like a peanut in a packet of crisps at events. I’d be the one in the corner pretending to read a hand-out or ‘checking emails’.

That was until I went to my very first Paraplanners' Assembly in 2013, which was filled with people just like me. They were also super friendly and easy to talk to. Striking up conversation with new people was still way out of my comfort zone but I forced myself to do it and I’m so glad I did.

As a result of that very first Assembly, I now have a great group of friends, peers and colleagues and I’ve gone on to do things in my career I'd never have done if not for the confidence I’ve built, starting from that very first event. So if getting out to events feels like a real challenge, here are some of my top tips I’ve learned over the years that have helped me:

1. Get prepared – think about a few simple universal questions you could ask anyone – where are they from?, what has been their favourite session?, etc
2. Get Involved - If there’s an app or social media chatter about the event, try and connect with people beforehand so you have a familiar face when you get there
3.  Take a pal! – Things are always easier with some support, can you go with a colleague or peer?
4.  Get Introduced – If it’s more comfortable, you could ask colleagues to introduce you to people to get the ball rolling.
5.  Remember, you are not alone – Don’t forget, others may also be nervous – if there’s someone else on their own looking a bit unsure, why not buddy up with them

Failing all of those though, if you see me at an event, you can come and practice your networking skills on me – I’m always very happy to have a natter!  

Caroline Stuart APP Chartered MSCI Caroline Stuart is the founder of outsourced Paraplanning firm Sparrow Paraplanning in Melton Mowbray. She is a multi award winning Paraplanner providing Paraplanning, report writing and technical support to UK Financial Planners and advisers. She also runs Sparrow Solutions, providing training, workshops, CPD events and operational support to Financial Planning and Paraplanning businesses www.sparrowsols.co.uk

www.sparrowparaplanning.co.uk

Experienced Paraplanner Christina Georgiou explains why outsourced Paraplanning is not the cut-price budget option some see it as.

Being an in-house Paraplanner is such a privileged role – there’s a high demand for your skills and you can command a high salary and other benefits as a result.

I was an in-house Paraplanner for many years, even before Paraplanning was a word. I had some great roles, where I learned a tremendous amount and built up my experience. Even the not so good roles taught me a lot too.

I joined Argonaut Paraplanning, which provides outsourced Paraplanning, in July 2021. It’s been an adjustment and I had to question my preconceived biases about the quality of the work outsourced Paraplanners provide.

I found that Argonaut’s commitment to raising the standard of advice matched my own, and so, in two short years, I now find myself as co-director with Alan Gow.

What I have noticed is a perception that outsourced Paraplanning is much cheaper than in-house and this is a reason for outsourcing. However, there are significant differences.

Although Lockdown has made us all more flexible, it remains easier for in-house Paraplanners to attend client meetings and be integral to the advice process from the start.

They may also sit on Investment Committees and have compliance duties.

By contrast, many outsourced Paraplanners join the advice process part way through and there’s a wide variation in what they do. Some are report writers, some gather information, and some will do research, analysis, gap filling and help construct advice before writing the report.

I don’t believe that an advice firm should use an outsourced Paraplanner because it’s cheaper.

I believe in the right type of Paraplanner for each firm. If that’s an outsourcer, they can provide additional capacity, experience, a second pair of eyes and will complement a firm’s advice process, potentially saving time and some money too.

Christina Georgiou is a director of outsourced Paraplanning support firm Argonaut Paraplanning. She is a career Paraplanner with over 20 years’ experience.

https://argonautpp.com/

Experienced Financial Planner Robin Melley looks at the benefits for Financial Planners of being a member of more than one professional body.

There are growing numbers of Financial Planners who, like me, are longstanding members of one or more of the recognised professional membership bodies (such as CISI, LIBF and PFS) who are also reaping the benefits of being a member of The Society of Trust and Estate Practitioners (STEP) but why and what does STEP offer to Financial Planners?

For those who do not know, STEP is a global professional body, with more than 21,000 members comprising lawyers, accountants, trustees, financial planners, tax advisers and other practitioners that help families plan for their futures.

Consequently, STEP members are typically also members of their own professional membership bodies – for example, lawyers may also be members of The Law Society.

Full STEP members, known as Trust and Estate Practitioners (TEPs) are internationally recognised as experts in their field, with proven qualifications and experience.

I joined STEP many years ago for two principal reasons: to enhance my technical knowledge and skills on estate planning and advising clients in vulnerable circumstances, and to enhance the collaborative work that I was doing with other professionals – typically lawyers, tax advisers and accountants.

It is fair to say that it has taken hard work to achieve the TEP qualification on top of being Chartered but it is no different for a lawyer or accountant achieving the same qualification on top of becoming Chartered in their professions.

However, it has been very worthwhile and has resulted in better outcomes for clients through the application of specialist technical knowledge and the ability to have more meaningful collaborative working relationships with other STEP members, who may also be lawyers, tax advisers and accountants and so on.

One of the reasons that Financial Planning is such a valuable profession is because it requires a holistic approach and it implies an ongoing service through every stage of a client's life.

Lawyers, accountants, and tax advisers are often engaged to provide packages of advice, so it is hugely beneficial for other professionals to work with Financial Planners, who are engaged to provide long-term advice and service.

Certainly, from my perspective, I am always reassured that a lawyer, tax adviser or accountant is a fellow STEP member when I refer clients to them.

• STEP's website can be found here: STEP

Robin Melley TEP, Chartered MCSI, FLIBF FPFS is managing director of Chartered Financial Planner firm Matrix Capital Limited in Shropshire.

www.matrixcapital.co.uk

Pensions expert James Jones-Tinsley reviews the election result and its impact on the pensions landscape. 

What has surprised me most about the outcome of yesterday’s General Election is not the much-predicted Labour landslide victory, but how well the smaller political parties have fared, largely at the expense of the Conservative Party.

At the time of writing, the Green Party have 4 seats, the Reform Party have 4 seats, a number of Independent candidates – including Jeremy Corbyn – have gained parliamentary seats, and while the Scottish Nationalist Party’s hold over Scotland’s political landscape has been reduced to single figures, the Liberal Democrats have secured their best result since the 1920’s.

The Labour Party faces a tough inheritance on many fronts.

Where pensions are concerned, arguably the top priority is to finalise the outstanding legislation in connection with the abolition of the Lifetime Allowance, which was cut short when the former Prime Minister, Rishi Sunak, decided to go out into the pouring rain without his umbrella and call the election.

The Labour manifesto speaks of a “review of the pensions landscape”; a broad-brush statement, with no time limits attached.

However, given that the incoming Chancellor, Rachel Reeves, has stressed which taxes she will not increase, one wonders if an emergency Budget in the near future might focus on the ‘low hanging fruit’ that pensions offer the new government, in their bid to raise funds from elsewhere?

Firstly, pensions tax relief, which currently costs the government over £40 billion each year, could come into view. The last nine years have seen reforms to pensions tax relief discussed at many junctures, but to date, individuals can still obtain pensions tax relief at their highest marginal rate of income tax.

An incoming government with a significant majority will always deliver bad news to the country early on in their tenure, and so expect reform of pensions tax relief; potentially a move to a single percentage rate of relief for all individuals, regardless of how much income tax they pay. If this was as low as 20%, it would save the government billions of pounds each year, at a stroke.

Secondly, the tax treatment of pension death benefits for those individuals who die below the age of 75 could be up for review. The ability to pass on these benefits to surviving recipients free of income tax for the rest of their lives has been criticised by think-tanks including the Institute for Fiscal Studies as “overly generous”, and so a move to impose the payment of income tax on these pre-age 75 distributions would undoubtedly be tempting to a new government.

Thirdly, Inheritance Tax (IHT) was not included in Ms Reeves’ list of taxes that will remain untouched, and one wonders if the current exemption from IHT that trust-based pensions enjoy, may be under threat. I sincerely hope not, as the ability to pass on pension death benefits to surviving beneficiaries via the discretion of the trustees of the pension arrangement, without the potential imposition of IHT on those benefits, is a powerful benefit for those recipients who are arguably at their most vulnerable.

Fourthly, maintaining the ‘Pensions Triple-Lock’ for annual increases to the State Pension.

Yes, the Labour manifesto stressed they would maintain this promise, in order to secure the pensioner vote, but its affordability over time will only increase, and so I fully expect the new government to call for yet another review of increasing the State Pension Age to 68 and beyond, far earlier than is currently set out in legislation.

James Jones-Tinsley FPMI APFS is a Self-Invested Pensions Technical Specialist at Barnett Waddingham LLP

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Noel Maye, the founder CEO of the global Financial Planning Standards Board (FPSB), is to step down from the body at the end of the year.