What advisers need to know about behavioural finance

The advice industry is constantly evolving, and advisers are continually pushing the norms in order to get to know their clients better and improve the suitability process.

Regulators and advisers agree that matching an investment to an investor is underpinned by risk tolerance and financial ability — but can advisers go further to understand the emotional ability of a client to take that risk? 

Is there a ‘behavioural capacity’ that can determine how a client may interact with their investment portfolio?

In this episode, reporter Imogen Tew is joined by Greg Davies, head of behavioural science at Oxford Risk, Alistair Wilson, head of platform strategy at Embark Group and Niall Gunn, managing director at Prosperis to discuss the possibilities.

Then Imogen talks about the headlines of the week with fellow reporters Rachel Mortimer and Amy Austin.

The FTAdviser Podcast is the weekly podcast for financial advisers brought to you by FTAdviser.com.

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