Why Financial Advice Matters More Than Ever in 2025

In a year marked by economic uncertainty and global volatility, the 2025 Value of Advice Consumer Research commissioned by the Financial Advice Association Australia (FAAA) delivers a powerful message: financial advice isn’t just about money—it’s about peace of mind, confidence, and living a better life.

📊 Key Takeaways

Advised Australians are thriving: Clients who work with financial advisers report significantly higher scores in quality of life, financial confidence, and satisfaction compared to those who are unadvised.

Advice delivers emotional and practical benefits: 94% of advised clients are satisfied with their adviser relationship, and 96% say advice has helped them stay confident during market volatility.

Myths busted:

• Financial advice isn’t just for the wealthy—clients earning $120k or less report strong financial security.
• Younger generations benefit deeply—Gen Y clients show greater improvements in life satisfaction and financial confidence than Baby Boomers.
• Advice is worth the cost—93% say they’re tangibly better off, and 96% believe the value outweighs the expense.

• CFP® professionals make a difference: Clients of CERTIFIED FINANCIAL PLANNER® professionals consistently report higher scores across all metrics, including a +22 point delta in financial satisfaction.
• Digital advice has limits: While Gen Y is more open to AI tools for admin tasks, most Australians still prefer human-led advice for its emotional support, tailored guidance, and trust.

What Australians Say

• “My adviser helps me stay the course when markets get rocky.”
• “Advice gave me peace of mind and a realistic plan for retirement.”
• “It’s not just about money—it’s about feeling secure and supported.”

📈 The FAAA Value of Advice Index

The Index measures four key areas:

• Quality of Life
• Financial Confidence
• Financial Satisfaction
• Experience

Across all categories, advised clients—especially those working with CFP® professionals—score significantly higher than unadvised peers.

At KDM Financial, we believe that quality advice should be accessible, personalised, and empowering — no matter your age or income level.

 

Here’s How to Begin: