Addressing vulnerability: Supporting professional investors and their clients

Professional investors are vital in helping clients navigate life's unforeseen challenges. All clients are at risk of becoming vulnerable and may move in and out of vulnerable circumstances at any stage; recognising and addressing these needs is crucial for delivering genuinely effective financial advice. 

| 47% of UK adults show 1 or more characteristics of vulnerability

FCA Financial Lives 2022 survey

Understanding client vulnerability 

Life events: Divorce, bereavement, job loss, or serious illness can suddenly change a client's financial situation and decision-making capacity. 

Health: Conditions or illnesses that affect the ability to carry out day-to-day tasks. Depression, anxiety, or cognitive decline may also affect a client’s ability to understand financial information or make sound decisions

Financial resilience: Low income, high debt, or lack of emergency savings can make a client more vulnerable to financial shocks. 

Capability: Limited financial literacy, learning impairments, or low digital skills can make it more difficult for a client to comprehend complex financial products or access services.

How can we help

Investment notes	Multi-format content	In-person support	Educate
Provide clear, jargon-free investment content in simplified language.	Deliver insights through various channels, including podcasts, webinars, and written reports to accommodate different needs.	Provide in-person meetings for complex questions to assist professional investors in delivering personalised guidance to clients.	Help educate on various investment themes and alleviate any anxiety around investment decisions.

Equipping professional investors with the right tools and support for their clients can ensure delivery of a consistent, empathetic service. Technology can both enhance support for vulnerable clients and create new barriers if not thoughtfully implemented. The right digital tools empower clients while preserving the crucial human element of financial advice. 

Creating financial resilience  

A strong financial plan that anticipates potential vulnerabilities helps clients navigate unexpected challenges with greater confidence. By fostering resilience before difficulties arise, professional investors can minimise the impact of vulnerability on financial decision-making. 

Accessibility options to support clients

• Braille documentation: Investment notes and marketing material can be made available in braille format for visually impaired clients. 

• Large print materials: Documents with enlarged text, enhanced contrast, and simplified layouts for clients with partial vision impairment. 

• Digital audio files: Recorded versions of written materials for clients who prefer or require audio information delivery. 

We are committed to supporting professional investors with vulnerable clients, and we actively listen and adapt to their needs, gathering insights through surveys and by having meaningful conversations.

We strive to ensure our services are inclusive and easy to access for every client. Our Sales Team can arrange these alternative communication methods, and we are always open to ideas that may better suit individual needs. 

PIMFAs guide to understanding customer vulnerability

PIMFA has developed this guide to assist firms supporting clients with characteristics of vulnerability in the wealth management and advice sector. It was developed with the intention of being accessible to the broadest range of stakeholders, from board members to front-line practitioners.

Purchase your guide here..