Over one in three UK advisers (36%) are planning to increase existing clients’ assets under their advice in an effort to grow their business organically, new research from NextWealth and Aegon has shown.

The pair suggested this could allow advisers to benefit from higher revenue generated by advice charges but also enable them to execute more tailored financial plans.

NextWealth and Aegon’s latest research guide was based on the views of over 200 financial advice professionals. Despite finding a desire for growth from within their existing client base, the findings also revealed that only a quarter of advisers are currently tracking the metric “share of wallet” (26%).

Aegon suggested that by understanding how much of a client’s investable assets they already advise upon, advisers could unlock untapped value, opening more advice opportunities for their clients.

Managing director – adviser platform at Aegon UK, Stephen Crosbie, commented: “There are lots of elements that go into building and deepening a relationship between an adviser and their client – from the core fact find and attitude to risk, to the more personal aspects like understanding their savings goals and life beyond the economics.

“Although it might not seem like it at first, the concept of share of wallet could represent a considerable opportunity to improve both of these aspects.”

NextWealth CEO, Heather Hopkins, added: “Good management information is the foundation of strong businesses and strong client relationships. The firms that use their data well can see clearly where they add the most value.”

Advisers who have a formally defined profile of their ideal target clients were twice as likely to track share of wallet (50%) than those who have an informal idea (26%), and five times more likely than those who have no target client profile (10%).

Aegon suggested that this highlights how a greater understanding of who you serve can create further opportunities for growth among existing clients and in attracting new ones.

“From a purely advice-led perspective, tracking share of wallet enables advisers to spot potential strengths and opportunities or gaps and threats within their client’s entire portfolio, empowering coordinated plans, informed decisions and possibly better financial outcomes,” added Crosbie.

“However, share of wallets greatest opportunity might lie in what it represents from a more personal relationship point of view. It shows a willingness to understand the client more deeply and where their priorities lie, which can go a long way in showcasing how you’re putting the client and their complete financial wellbeing above all else.”

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