Are you an all-rounder or a report specialist? James Mullarkey – PFS Paraplanning Panel member, explores what a paraplanner actually does, how this varies from firm to firm and actually how it is sometimes it’s easier to just say you work for MI5!
It’s always quite awkward when someone asks me what I do. As a paraplanner, I find myself comparing the role to either an administrator or financial adviser and then adding or subtracting bits which often creates some sort of confusing Frankenstein of a role that nobody understands.
Or sometimes I might compare myself to Q from the Bond films on the basis that I do technical things in the background.
However, this often backfires when they either haven’t seen a bond film or get mixed up and start asking me what it’s like to work at MI5.
Companies often have a similar dilemma when deciding what their paraplanners should do. Reports are a consistent part of the role, but should paraplanners also handle client contact, prepare for and attend meetings, fill out application forms and so on?
What is a real paraplanner?
When discussing the role with other paraplanners we can often be protective of the way we do the job. However, in this article I’d like to take a step back and look at each role in more detail to provide insight into the value that they add.
Although the paraplanning role can be more of a spectrum that encompasses varying amounts of responsibilities, I often see two main types of paraplanner, the report specialist and the all-rounder.
All-rounder
These paraplanners are often found taking a client call whilst filling out an application form, whilst they are in the middle of a pension transfer report, whilst making a brew, and they have a client meeting in 5 minutes.
They have a detailed knowledge of the client bank allocated to them due to their regular and direct contact with them. They also often own the process, end to end, which can decrease errors that could otherwise be caused by different departments handling different parts of the process.
However, these paraplanners will often cite frustration at the massive amount administrative tasks they have to complete alongside writing complex reports that may, in themselves, take a few says to write. This can be a near impossible balancing act at times.
Report specialist
The report Specialist will typically have a long and often scary list of reports that all need to be done today according to the relevant advisers. One of the key strengths of this role is that under this model the sheer volume of cases completed provides a lot of experience and can create highly technical paraplanners.
These paraplanners often become highly efficient specifically at report writing. There is a hint of Fordism in this role in the theory that specialising produces efficiencies and, therefore, speed of production.
However, any report specialist will be able to tell you about the frustrating flaws in this theoretically quicker method. Missing information from meeting notes and issues that arise once the report is handed on for implementation are common bugbears.
As you can see, each approach has their pros and cons that we are only scratching the surface of here. Luckily the job market is often favourable enough that each person can decide which type of role is right for them.
Newer paraplanners are likely to be more suited to the all-rounder type role so they can see all of the parts of the machine before focussing on just one. This can also be a good role for people who prefer variety and talking to clients.
Conversely, the report specialist is typically more suited to paraplanners who prefer precision and detail over variety and would prefer a more predictable day, although I think neither type of paraplanner would ever say that their days are ever fully predictable.
Careers
There are many options to develop your career as a paraplanner, but for people who want to transition into the adviser role, each paraplanning role has its merits depending on the type of adviser you want to become.
The report specialist may develop more technical experience and so would be more comfortable discussing complex topics.
Although, if they have had less or no experience talking to clients they may be uncomfortable discussing… well… all topics, at least at first. In other words, each role can be a useful stepping stone, they are just shaped differently.
Which is better then?
The burning question we all want to know is, which role is superior and is the true and final form of paraplanning? Although it’s anticlimactic, I’d say that the answer is neither and both at the same time.
Companies and people instead only need to pick which role is more suited to them and not debate over the theoretical best form of the role. Each role is useful, fulfilling, technical and plays a key role in providing good advice to clients.
As the role doesn’t fit into one box, this makes things a little more complicated for those dinner party conversations where the inevitable and dreaded question gets asked, “so, what is it you do for a living?” My best advice, just say you work at MI5.
Main image: person, spy, silhouette, ben-sweet-2LowviVHZ-E-unsplash
