Investors may have reacted to adverse share market conditions by over heating the listed property market which is most likely about to see the end of the ‘boom’, said Allan Griffiths, Group Director Distribution for Norwich Union, during a presentation to independent financial advisers.
Investors may have reacted to adverse share market conditions by over heating the listed property market which is most likely about to see the end of the ‘boom’, said Allan Griffiths, Group Director Distribution for Norwich Union, during a presentation to independent financial advisers.
Mr Griffiths is leading a tour of Norwich Union experts around the country meeting with independent financial advisers to discuss how customers are reacting to uncertain times.
“Doing business in the current economic environment is challenging for most organisations – small or large. Over the past few months we have witnessed a world economy that has been slow to recover from a number of pressures, including low corporate credibility and world terrorism.”
“In Australia the uncertain markets may be leading to the end of the housing boom and a low Australian dollar but, paradoxically consumer confidence is still strong. This is something that financial advisers can tap into to,” says Allan.
With the slump in the share market, Australia has seen an increase in the growth of property trusts, as customers perceive property as a safe haven with stable growth.
“The baby boomer market is currently highly concerned about the security and growth of their nest egg. My strong advice to that group is to seek the services of an independent financial adviser who understands the market and is looking at long term strategies, rather than quick reactions to the market,” said Allan.
During the Norwich Union briefing, guest speaker, Dr Richard Hames, one of Australia’s top corporate philosophers and strategists, provided insight into the current mood and mind set of the Australian consumer, including ‘what’s hot and what’s not’ and the key consumer drivers.
“The next 10 years are going to see a spending bonanza by the Baby Boomers moving into retirement – but their world is changing dramatically at the same time,” commented Richard. “There is a certain degree of fear caused by all this change, including the war on terrorism, a breakdown in traditional values, social instability caused by the ageing population, disaffected youth and an over-burdened welfare system.”
Financial advisers should always be aware of the issues affecting their clients. This will ensure they continue to meet their needs and provide the total financial support that the customer is now looking for.
According to Richard, consumers are no longer searching for ‘quick fix’ products. Instead it’s about responding to personalised needs as a long term concerned partner.
Allan Griffiths agrees with this approach and believes it is extremely good positioning for any independent financial adviser.
Allan Griffiths is available for interview on 0419 307 319.
For further information, please contact:
Bernadette Collins, Public Affairs
Ph: (03) 9829 8818
Mob: 0407 385 645
Note to editors:
- Norwich Union Australia is a group of three specialist financial services companies; Navigator, Norwich Union Life and Portfolio Partners. Through these companies we provide products and services in the areas of wealth creation, wealth management and wealth protection for more than 300,000 customers throughout Australia.
- Globally, Norwich Union Australia is part of Aviva plc, the world’s seventh largest insurance group, the largest insurer in the UK and one of the top five life companies in Europe. Aviva was formed in May 2000 through the global merger of CGU plc and Norwich Union plc.
- Aviva’s principal business activities are long-term savings, funds management and general insurance. It has a market capitalisation of approximately A$27 billion at 16/07/02, worldwide premium and investment sales of more than A$72.2 billion from ongoing business and more than A$519 billion in assets under management. The group has 64,000 employees and more than 25 million customers.
- Norwich Union Australia has a sister company, CGU Insurance Ltd, a top five general insurance business, which operates independently in Australia.
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