Financial advisers should serve clients throughout their careers, rather than selling them on as “books of business”, financial services education expert Jim Taggart says.

The Chairman of Mentor Education says while “buyer of last resort” can be an effective “commercial life raft” for planners, the subsequent sale and distribution of clients as commodities is the worst possible outcome for clients and “immensely damaging” to the advice industry’s reputation.

He says true financial advice is an end-to-end commitment reflecting the lifelong journey of the advice process that culminates in retirement, an investment strategy maturing or a processed claim.

“There are so many dynamic, moving parts in fulfilling the expectations of clients, of which trust and service go hand in hand – and they in turn determine the financial success or failure of the planning practice,” Dr Taggart said.

Succession plans and seamless merger and acquisition processes are also important given most planners’ “use-by dates” arrive long before those of their clients.

Effectiveness and quality of client service can be identified in revenue, longevity of client retention and the number of referrals, he says.

“All because the client is confident they are at the centre of the planning business and their financial wellbeing and lifestyle, protection, wealth accumulation and retirement aspirations will be serviced long after their adviser has retired and exited the industry.”