From Adviser Guide: Updated Risk profiling
Q: How do I pick the best risk profiling tool?
By understanding the target market for the tool, the strengths and limitations of each tool and the extent to which it compliments your broader sales process.
It is vital you pick a tool that delivers an appropriate customer outcome.
Apart from the checklist provided by the FSA (see What are the FSA’s requirements for advisers assessing a clients’ attitude to risk?), other considerations will include;
1) usability (especially if you wish to use the tool with your consumers);
2) cost (may be marginal inside a large back office solution or an explicit monthly or volume based subscription);
3) the support that you require from the software supplier.
If you are dealing with less sophisticated consumers, some of the more esoteric features of tools and their graphical user interfaces may not be an aid to understanding.
