'I've never really been interested in investments'

He told FT Adviser’s Coffee Corner series he has never really been interested in investments and describes himself as an advice-only financial planner. 

With DFB Wealth, Brent has brought this approach to dozens of clients over the past two years. 

What was your first experience of the financial services industry?

Brent explained financial advice was not his first career choice - he was on track to become a fully fledged solicitor when the legal team in the firm he worked for was disbanded due to the financial property crash in 2008. But he said it turned out a good one.

“I’d just found myself being made redundant, I was still in my late 20s and thought, yeah, I'll [accept a job in financial services].

“I actually did a few of the exams when I was there and thought, ‘I don't mind this’.

“It was still talking to clients and helping people.”

He said even the sales support admin role he was in was "pretty hands on" and his next move was to a paraplanning role at a London firm. 

After some time spent as a paraplanner Brent became an adviser. 

What is your approach to financial advice?

“I really did enjoy my time in the City in my 20s and 30s, but I just thought, this is not the type of financial planning I want to be doing,” he said.

“I didn't want to be bringing in investments and putting them on [a] platform, I wanted to do the financial planning piece.

“Ultimately, the financial planning side was really still led towards bringing money onto a platform.”

One day I just thought I don't want to do this anymore. I don't want to sell investments to clients

After a few years in the city, Brent moved to another firm outside of London. 

However, targets were still based on how much investment planners brought into the firm, he said.

It wasn’t until lockdown hit that Brent felt he could change up the way he was interacting with clients. 

“I was working from home and I felt I had the freedom then to bring this financial planning piece to my clients,” he said. 

“When we’d have our video calls, I just moved away from that investment piece and into 'how are you, how are the family? What are you going through at the moment?'”

Was this when you decided to set up on your own? 

Around two years ago Brent made the decision to leave the firm he was with and set up his own business. 

He said: “In my mind, I knew what I wanted to do, I knew I wanted to run my own business, be my own boss. 

“First I spoke to my wife about it and we both understood that it was going to be potentially two or three years of low income.

“Let's face it, starting a business from scratch with no clients was going to be a big leap and the first 18 months were tricky.

“But I think running a business, working with clients how I want to work with clients, providing the financial guidance that I want to provide, has made it all worthwhile.”

What do you do differently to other advisers out there? 

“I honestly believe most people out there are just looking for some simple advice just to make sure they're not doing anything wrong, and they're not being silly with their money,” said Brent. 

“There's a lot of fear around money and I think people just want to check in with somebody. 

“What they don't necessarily need is, ‘Oh, by the way, I can manage your pension for you as well’.

I'm speaking increasingly to younger employees of tech and engineering firms who are getting equity compensation and nobody tells them what any of that means

Now, Brent said, he does not manage his clients’ investments at all. He is offering financial plans only, with no expectation of product implementation.

This means the business does not fall under Financial Conduct Authority regulation, as other financial advisers typically do.

What made you want to take the investment aspect out of the advice you give? 

“I've never really been interested in investments, although I understand they are important, you need to invest your money to generate returns and build your wealth.

“But even from those early days in the city, I remember one day I just thought I don't want to do this anymore. I don't want to sell investments to clients. I don't want to talk about them.

“I'm not an investment manager, I'm a financial planner.”

After Brent came across lifestyle financial planning through an article with Paul Armson, he said he was “hooked” on the idea. 

He added: “I thought that's it, that's what I need to do. It's not about selling investments, it is about this lifestyle financial planning.

“I guess my journey has then evolved from being that lifestyle financial planner within a firm, to now thinking I'll do that myself.”

Do you think this style of advice will grow in the UK?

“I call myself an advice-only financial planner, it's really a movement that's come from the US and it's gaining traction there,” said Brent. 

“A lot of conversations I had were with clients saying they were looking for that advice piece without the investment tie in.

“If they do need investment management, then I'll tell them 'So, here's how you could do it yourself or you could go and see an IFA or a financial planner who will do that for you.'”

In terms of fees for the work he does, Brent charges a flat fee of £4,900 per household for the plan. 

Brent said he hopes the approach will grow more in the UK. He added: “More and more firms are offering fixed fee financial plans. 

“I do believe that some younger people who don't have the assets or the big pensions and have traditionally been turned off by IFAs are increasingly thinking of talking to an advice-only or a fixed-fee planner. 

“I'm speaking increasingly to younger employees of tech and engineering firms who are getting equity compensation and nobody tells them what any of that means, when they're given a share plan or given a portion of restricted stock units.

“They are not looking for investment management, just some sensible advice around what to do with their shares.”

What would your advice be to someone wanting to set up on their own?

“It's very important to understand that starting a business from scratch is going to be very difficult.

“You've got to really knuckle down on social media and get your branding, your marketing right.”

Brent said anyone thinking of setting up their own advice firm should think about who they want to work with and 'speak the language' of the customer they want to attract. 

He added: “Be mindful that's going to take two or three years before I can start to generate even close to the income that I was used to as an employed person.

“You just have that single-mindedness to sit down and put in the hours to build a brand.”

If you own your own advice firm and would like to feature in the Coffee Corner interview series, get in touch at tara.o’connor@ft.com