Fit for Purpose Advice 

At this stage we see Fit-for-Purpose advice as financial advice that is tailored to your individual needs and circumstances. It takes into account your financial goals, risk tolerance, and time horizon. Fit-for-purpose advice is not generic or one-size-fits-all. It is specific to you and your situation.

There are a number of benefits to receiving fit-for-purpose financial advice. First, it can help you to make better financial decisions. When you have access to tailored advice, you are more likely to choose the right financial products and strategies for your needs. Second, fit-for-purpose advice can help you to save money. By avoiding costly mistakes and making the most of tax breaks and other government incentives, you can put more money in your pocket. Third, fit-for-purpose advice can help you to achieve your financial goals faster. By taking the right steps now, you can reach your financial goals sooner and enjoy the benefits of financial security sooner.

If you are looking for fit-for-purpose financial advice, there are a few things you can do to find a qualified financial adviser to help you achieve your goal. First, ask for referrals from friends, family, or colleagues. Second, check with your state or territory's financial services regulator to see if the adviser is licensed. Third, interview several advisers before making a decision. Be sure to ask about their qualifications, experience, and fees.

Here are some tips for getting fit-for-purpose financial advice:
  • Be clear about your financial goals. What are you trying to achieve with your money? Do you want to save for retirement, buy a house, or pay for your children's education?
  • Be honest about your financial situation. What is your income? What are your expenses? What is your risk tolerance?
  • Ask questions. Don't be afraid to ask the adviser questions about their qualifications, experience, and fees.
  • Get everything in writing. Be sure to get a written Fit for Purpose (FFP) Advice document that outlines the adviser's recommendations and the fees associated with those recommendations.
Fit-for-purpose financial advice can help you to make better financial decisions, save money, and achieve your financial goals faster. If you are looking for financial advice, be sure to find a qualified adviser who can help you get fit for purpose.

Example of Fit for Purpose Advice Document Contents

Introduction
  • This document outlines your financial goals and the steps you need to take to achieve them.
  • It is based on your individual circumstances and needs.
Financial Goals
  • What are your financial goals?
  • Do you want to save for retirement, buy a house, or pay for your children's education?
  • Current Financial Situation
  • What is your income?
  • What are your expenses?
  • What is your risk tolerance?
Recommendations
  • Based on your goals and situation, here are some recommendations for how to achieve your financial goals.
Timeline
  • When do you want to achieve your financial goals?
  • What steps do you need to take to achieve your goals by that time?
Financial Projections
  • Tailored financial projections to show you how you will achieve your goals
  • Projections can include your earnings, expenses, taxes, government benefits etc 
Contingency Plans
  • What if something unexpected happens?
  • How will you adjust your plans to accommodate unexpected events?
Review
  • This document is a living document.
  • It should be reviewed regularly to make sure it is still in line with your goals and situation.

This is just a guide and you may need to add or remove sections depending on the purpose of the advice.

Here are some additional tips for working with an adviser to help create your fit-for-purpose financial planning document:
  • Be as specific as possible when setting your financial goals.
  • Be honest about your current financial situation.
  • Review your financial planning document regularly and make changes as needed.
We will be working with all industry parties to create relevant documents and templates to help navigate the new Fit for Purpose definition of advice
Looking for customised templates? 
Contact Us to discuss your SoA template needs.