At Adviser Outsourcing, we know that clean, accurate data is the foundation of a strong financial advice business. That’s why every quarter we run a free best practice group, bringing together firms of all sizes to share knowledge, explore practical strategies, and tackle the challenges of data maintenance head-on.
Our latest session focused on the real-world issues that financial firms face when managing client data – from meeting FCA requests to improving internal efficiency. With a lively mix of attendees, we uncovered actionable strategies that can help advice firms turn data from a burden into a business advantage.
Risks of Poor Data Hygiene
The discussion began with a reminder of the regulatory landscape. The recent FCA data request underscored the risks of poor data hygiene: non-compliance, wasted time, and reputational damage. As our founder Sarah Challenor noted:
“Our reliance on data is key, and there are a lot of tools out there – but it’s only when you get a request from your PI insurer or the FCA that you realise the true state of your data.”
Key risks include:
· Inaccurate client records leading to compliance breaches.
· Missed contractual obligations for ongoing service.
· Inefficiencies in reporting and client reviews.
Benefits of Managing Data
Our group explored how firms can manage these risks more effectively through clear processes. Key best practices included:
· Start with service statuses and segments: Focus cleansing on actively serviced clients to protect contractual responsibilities and fees.
· Use dashboards to track data quality: Tools like Intelliflow Office (IO) can highlight missing details such as DOB, NI number, or service status.
· Family wealth grouping: Consolidating clients into family groups supports reporting and service improvements, and adds value for firms preparing for sale.
· Record vulnerability for all clients: Capturing this consistently provides a robust audit trail and ensures no one is overlooked.
· Maintain plan accuracy: Regular checks on agency status, valuations, and sub-plans help prevent errors, especially with complex products.
By documenting these processes and assigning clear ownership, firms can lift the burden from advisers and staff – freeing up time to focus on client service and growth.
Compliance Advantages
Maintaining accurate data isn’t just about efficiency – it’s also about demonstrating a culture of compliance. Regulators and insurers alike expect firms to show evidence of structured processes. Firms with documented, repeatable data checks (monthly, quarterly, or annually) not only reduce risk but also identify training needs and process improvements.
Our quarterly group makes it clear: data maintenance is no longer optional – it’s a compliance imperative.
Your Next Step
Click on our events page to attend the next Free best Practice session https://adviseroutsourcing.com/events/
If you’re ready to strengthen your firm’s data strategy, we can help. Adviser Outsourcing offers:
· A free quarterly best practice group to keep your firm informed and up to date.
· A complimentary sample data maintenance plan to get you started.
· Tailored support to help you build scalable, compliant data processes.
Book your free session with our team and take the first step towards turning data maintenance into a competitive advantage.
