The paper recognises that some trustees already have a significant portion of their members receiving ongoing tailored financial advice. This complexity underscores the need for trustees to ensure their retirement product offerings align with the diverse needs of advised members. The aim is to ensure these products are suitable for members approaching retirement, enabling them to achieve favourable retirement outcomes.
The Treasury consultation paper prompts stakeholders to consider whether trustees currently possess the capability to support members at various life stages, particularly as they near retirement. This inquiry asks trustees to either justify their existing practices or explain any gaps in their approach.
Acknowledging the tailored nature of financial advice, the consultation's principles suggest that trustees could play a significant role in encouraging positive retirement outcomes through member engagement efforts. By offering insights into available retirement income solutions and products, trustees can empower members to explore options and make well-informed decisions in collaboration with their advisers.
The consultation emphasises that while trustees are encouraged to provide valuable information, this should not disrupt the pre-existing client-advisor dynamic. Rather, the aim is to support this relationship by informing members about tailored options while allowing for member autonomy and continued adviser engagement.
This initiative aligns with the broader industry movement towards enhancing member engagement, especially for those who may eventually transition out of advised relationships or lack continuous financial guidance. The consultation outlines how trustees can contribute to sustained positive retirement outcomes for all members.
