You seek professional advice to improve your financial outcomes. Yet the impact of great advice on your emotional, as well as financial, wellbeing shouldn’t be overlooked.

You might get advice to discuss a particular product or upon reaching an important life milestone. But by building a long-term relationship with your adviser and taking a holistic approach to your finances, you could see your emotional wellbeing improve too.

Emotional wellbeing matters

The Office for National Statistics reports that between 20 and 30 March 2020, as the UK-wide coronavirus lockdown was imposed, almost half of those aged over sixteen (49.6%) described themselves as suffering ‘high’ levels of anxiety.

As the pandemic continues, levels of high anxiety will remain for many. With businesses closed or operating shorter hours, the furlough scheme coming to end, and many people struggling to make ends meet, the link between financial security and emotional wellbeing is clear.

A recent survey conducted by Royal London found that receiving ongoing financial advice could improve your financial position.

It concluded that if you’re considered to be ‘just getting by’, you could see your pension pot increase by 24% through receiving regular advice. The figure was 11% for those more well-off. The average difference, though, amounted to a £47,000 increase in wealth over a ten-year period.

There is also a strong link between receiving advice and your emotional wellbeing.

Regular financial advice can improve your emotional wellbeing

The same survey found that receiving ongoing advice could improve your emotional wellbeing. Receiving holistic financial advice – that is advice that looks at your whole financial picture – was found to be even more beneficial.

According to the survey, you could see an improvement in three key areas:

1. A greater sense of control over your future

The Royal London survey found that advised clients are two times more likely to have protection insurance.

Protecting a future loss of income through Income Protection or covering a period of illness through Critical Illness cover are not only great ways to protect yourself and your family but by having policies in place, you can feel more in control too.

Products you might consider:

  • Income Protection – This pays part of your income if you are ill. It pays until you start working again and you can claim as many times as you like during the policy term.
  • Critical Illness cover – By paying a one-off lump sum if you are diagnosed with certain conditions, such as a stroke, heart attack, and certain cancers, you might be able to cover medical bills or home adaptations.
  • Life Insurance – Term Assurance will pay out a lump sum if you die within the policy term. Whole of Life cover guarantees to pay out on your death (as long as your premiums are up to date) but this guarantee can make the plan expensive and premiums can rise as you get older.

Improving your emotional wellbeing means enjoying life now safe in the knowledge that the future – although unknown – has been planned for.

A recent Money Marketing report suggests that UK savers are ‘worryingly exposed’ to financial shocks. Speak to us now and we can help put plans in place to protect you and your family, granting you control over your finances.

2. Greater confidence in your financial decisions

Speaking to an adviser isn’t about being told what to do. Speak to us and we can work collaboratively to understand your current situation and your aspirations. We can give you options and we can weigh up the pros and cons together.

The Royal London survey found that non-advised customers were three times more likely to say they wouldn’t know where to start when taking out life insurance or saving for retirement.

Speaking to an adviser regularly about the options that are open to you will increase your own knowledge. With a better understanding comes increased confidence and that in turn can lead to an improvement in your emotional wellbeing.

3. Peace of mind that you and your loved ones will be looked after

The third way in which receiving advice can have a positive impact on your emotional wellbeing is by giving you peace of mind.

Receiving ongoing, holistic advice allows you the chance to build a relationship with your adviser. It can improve your financial knowledge, help you to feel more confident and in control, and improve both your financial outcomes and your emotional wellbeing.

Get in touch

Please get in touch if you’d like to discuss any aspect of your financial plans and their connection to your emotional wellbeing.

Please note:

The value of investments can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.