Latest News

  • Home /
  • Latest News

Prudential - Transitioning from old to new

21 December 2020

Vince Smith-Hughes

Director of Specialist Business Support, Prudential

As the old father time of 2020 winds down and hands the baton onto the new baby of 2021, it’s hard not to think that a lot of the world will be glad to see the back of 2020.

But what have we learned? COVID has had a devastating effect on many aspects of life, and financial services was no exception.

A few ‘highlights’ of 2020

  • Whilst some investors pulled out of markets at exactly the wrong time, many advisers persuaded clients to remain invested. Those that did have generally seen their investments rebound at least partially. As I write this the FTSE 100 is around 30% up on the low point back in March. Some other markets have fared even better. Over recent years many advisers have already built the possibility of a ‘market shock’ into their cashflow modelling, which will also hopefully have made clients aware that markets don’t always go up!

  • Some of the effects of the lockdown have seen some adviser practices change, which are likely to be here to stay. The NextWealth adviser survey cites remote working, increased use of technology and less face to face meetings as changes due to COVID that are here to stay. This should mean less travel time, less carbon footprint and more efficiency. It’s not all positives but those are three big ones

  • Many firms experienced falls in new business, often due to the difficulty of bringing new clients on board ‘remotely’. So though the increased use of technology has certainly helped with existing clients, it seems to be more of a struggle to reach out and gain the trust of new clients

  • Not COVID related but many advisers pulled out of DB transfer advice, often due to one or more of PI problems, new advisory requirements, the contingent charging ban or regulatory enforcement. This will frustrate many DB members as there is certainly still a big demand for advice

So using the experience of 2020 what can we change in 2021? Continuing the theme of contemplating the effects of the march of time, perhaps some advisers could broaden out their ‘family’ offering to clients in 2021:

  • Technology enables more than one member of the family to be on a video conference. This can help in many ways – it can help appraise the next generation of what the overall plan is, it can effectively help bring them on board as a new client to look at their own financial affairs, and critically it can start forming the habit with them of speaking to their trusted professional adviser who looks after all the family

  • What is the family view on sustainable investing? It could of course be different across generations but it seems wise to raise the issue

  • Additional intergenerational planning opportunities can be considered such as IHT and trust considerations, gifting and third party pension contributions. etc

  • Power of Attorneys, will planning and ensuring forms of nomination are up to date are often subjects not raised within the family and very much should be. An adviser could be in a much better position to broach these subjects as an independent party

  • Who should have control of funds and when? Take a simple example of allowing a new  student to access their JISA when just starting at university. Should additional measures of control be in place? Having an offshore bond in a discretionary gift trust with suitable trustees as an alternative perhaps? The answer will vary for different clients but the point is that this is where an adviser can really add value at an early stage

  • Growth could be tough to come by in 2021. Its worth remembering to maximise use of tax wrappers so the return that can be generated is maximised, - again a ‘family’ approach can help to ensure the best possible outcome

Perhaps some of these opportunities could go some of the way to replacing business ‘lost’ as some advisers pull out of the DB transfer market. Not only that, it can help protect the value of adviser businesses going forward.

Many advisers may think that they have already put sufficient plans in place for the transition of wealth from one generation to the next. But are they relying on word of mouth from their clients to their children and grandchildren who they may never have even met? At the very least this should be tested out – anecdotal feedback suggests this is often not the case.

For our part we have had our own ‘coming of age’ celebration this year, having just reached the 16th anniversary of the first PruFund, a ‘net of tax’ life fund. It’s not just us who will be celebrating either – investors in the fund at outset will have seen their investment grow by 138% - compared to 83% for the sector average.  Not only that, the fund has smoothed out many of the ups and downs of markets along the way.

Have a Merry Christmas and a prosperous New Year from all at Prudential UK.


16 December 2021

Invesco - Investment Intelligence Seminars 2021 - On demand


14 December 2021

Invesco - 2022 investment outlooks


10 December 2021

Prudential: Case study 3 - Funding for decumulation


8 December 2021

intelliflo - Uncovering the advice gap; the Advice Map of Britain


29 November 2021

Just WIN, WIN, WIN... Thank you


26 November 2021

Blackfinch Energy acquires largest solar farm to date


26 November 2021

ESG at Invesco


26 November 2021

Prudential - International Portfolio Bond – helping your clients help the planet


16 November 2021

Octopus On Film - Diversity and inclusion


3 November 2021

What investors want: Our research on client perceptions of ESG investing


3 November 2021

Mitigo - Why cyber risk management is not the same as IT support


28 October 2021

intelliflo - Why you shouldn’t discount technology for older clients


28 October 2021

Prudential - The year of 2.5 budgets


25 October 2021

Invesco - Small steps to a better future


15 October 2021

Prudential - ISA Case study 1 – Managing volatility with cash


14 October 2021

Prudential On Film - ESG


12 October 2021

intelliflo - How technology will impact the future of paraplanning and advice


11 October 2021

Just: Winners of Just Group vulnerable customer awards announced


11 October 2021

Prudential: ESG Policy for the Risk Managed Passive and Risk Managed Active fund ranges


7 October 2021

Aegon - Thinking ahead: Social care funding and intergenerational advice


13 September 2021

Invesco - Investment Intelligence Seminars 2021 – register now


8 September 2021

Blackfinch Renewable European Income Trust September 2021


7 September 2021

intelliflo - Five benefits of a client portal


7 September 2021

Prudential - Our 'Future-proofing Fridays' seminars are coming to you virtually


6 September 2021

Prudential - New PruFund Support


26 August 2021

PruFund range of funds - EGR and UPR announcement


26 August 2021

intelliflo - The power of deep integrations


25 August 2021

PruFund Planet - Support for your ESG client conversations


23 August 2021

Prudential - PruFund Planet - How are the funds managed?


20 August 2021

Prudential - Download the app for automatic daily valuations through intelliflo


12 August 2021

Prudential - The Great Reset: Why it's time to invest for a sustainable recovery


11 August 2021

Prudential - Planning for education?


6 August 2021

Invesco - It's more about growth than inflation


6 August 2021

Prudential - Sir Isaac Newton’s first law of motion and ESG


3 August 2021

Prudential - PruFund Planet - The power to create the world your clients want


2 August 2021

Prudential - Our 'PruFund Planet - a world of good' seminar is coming to you virtually


21 July 2021

Just on Film - Vulnerable Clients


19 July 2021

Prudential - Pep up your ISA planning webinar


7 July 2021

intelliflo - Future-proofing your technology


2 July 2021

Prudential - Our 'Onshore... Offshore - you decide' seminar is coming to you virtually


1 July 2021

Prudential - New AKG financial strength report and due diligence support


24 June 2021

Prudential - A Spotlight on Asian Bonds


24 June 2021

Invesco - Emerging markets: Innovation unleashed


21 June 2021

intelliflo - Four ways technology can improve client engagement


16 June 2021

Have you looked at our Retirement Account recently?


9 June 2021

Prudential - The importance of sequencing of returns risk for clients taking an income from their pension


8 June 2021

Tax Efficient Review - Updated independent reviews now available


3 June 2021

Prudential - Could our Risk Managed 1 and 2 funds help in de-risking?


2 June 2021

Blackfinch: Adapt IHT portfolios - Q1 Trading Activity


2 June 2021

Prudential: Upcoming Webinars June


28 May 2021

Prudential - PruFund range of funds - EGR and UPA announcement


27 May 2021

Prudential - Intergenerational Planning


20 May 2021

Prudential - Do your clients dream of becoming millionaires?


17 May 2021

intelliflo - Using data to drive client engagement


17 May 2021

Invesco - My three rules of investing


17 May 2021

Prudential - Maximising ISA Allowances


14 May 2021

Prudential - Retirement Account & onshore bond bulk valuations added for intelliflo users


4 May 2021

Just - New awards for excellence in customer vulnerability. Enter now!


4 May 2021

Prudential - Are your clients ‘SKI’ing?


29 April 2021

Prudential - What do clients most want advice on, following Covid-19?


27 April 2021

Prudential - Our Future of Pensions Advice seminars are coming to you virtually


22 April 2021

Prudential - How comfortable are families with using the same adviser?


21 April 2021

intelliflo - One year on: advice industry powers on with more clients and greater efficiencies


16 April 2021

Prudential - The Defined Benefit Transfer Debate


15 April 2021

Prudential - A 5.5 trillion pound opportunity, worth exploring!


9 April 2021

Invesco - Bonds: shaken not stirred


7 April 2021

Welcome to intelliflo


7 April 2021

Prudential - What’s stopping clients transferring wealth?


1 April 2021

Prudential - NEW and exclusive intergenerational research


31 March 2021

Prudential - Submit ISA business right up to the tax year end


24 March 2021

Prudential - We’re removing the stress from ISA investments


18 March 2021

Prudential - Can our Retirement Account save you time?


17 March 2021

Blackfinch - Firms fit to thrive


10 March 2021

Prudential - What makes our Prudential ISA different from the rest?


10 March 2021

Just: Drawdown's secret weapon


5 March 2021

Invesco - Online training: Understanding ESG


5 March 2021

Prudential - Les' Budget Update


3 March 2021

PruFund range of funds - EGR and UPA announcement


3 March 2021

Prudential - Suport for your clients' pension planning


1 March 2021

Aegon - What the Spring Budget could mean for your clients


25 February 2021

Prudential - Cash is king! Or is it?


19 February 2021

Prudential - Planning for tax year end? Your pension planning questions answered


18 February 2021

Prudential - EGR and Budget webinars


17 February 2021

Prudential - 2021 and beyond – a diversified fund range of funds to help match client’s needs


12 February 2021

Prudential - Managing future risk - virtual seminars


1 February 2021

Mitigo - 6 cybersecurity resolutions for your firm