Why getting financial advice is your best investment
By Suzean Haumann*
If you manage your own investments, how confident are you that your plan is on track? It’s often thought that you’ll be ok if you have an RA, a few unit trusts, and a tax-free savings account. Right?
You might be, but have you ever wondered whether a DIY approach is really the best way to prepare for what might be 30 years in retirement? Does your portfolio actually suit your long-term goals, and if not, what does that mean for your future?
In South Africa, where inflation often eats away at savings, interest rates rise and fall, and global events often batter local markets, having a financial plan matters more than ever.
Let me to show you how working with a qualified financial adviser could be one of the smartest money decisions you make.
It’s not just about picking the next hot share
A lot of people think investing is about timing the market. You know: buying low, selling high. Chasing growth.
But that’s not what builds long-term wealth.
Real success comes from consistent saving, proper asset allocation, avoiding emotional mistakes, and sticking to a plan, especially when the market takes a knock.
That’s where a financial adviser makes all the difference. We help you stay invested when fear takes over. We make sure you don’t get overconfident when markets run hot. And we help you stick to your goals no matter what the economy is doing.
The numbers speak for themselves
You don’t have to believe me just because I say so. A 15-year Canadian study showed that people who worked with a financial adviser had 2.3 times more assets than those who didn’t.
Even after just 4–6 years, advised clients were already ahead by about 60%.
Locally, Momentum and UNISA found a similar pattern. South African households using professional financial advisers had, on average, 9.5× more in total investment assets than those without advice.
Yes – nine times more.
And that includes retirement funds, discretionary investments, tax-free savings, and other long-term vehicles.
It’s not that advisers pick miracle funds. It’s that they help you avoid bad habits, make smarter choices, and stay committed for the long haul.
What does a financial adviser actually do?
Let’s be honest. A lot of South Africans have bits and pieces of their wealth scattered across different platforms and products. A pension fund from an old employer. A preservation fund somewhere. A few unit trusts from a bank you no longer use.
But there’s often no clear plan. That’s where an adviser steps in.
We help you:
Understand your full financial picture
Get your investments aligned with your personal goals
Avoid duplication or overlap in your portfolio
Optimise for tax using TFSAs, endowments, and Regulation 28
Create a realistic plan for retirement – and stick to it
And, believe me, we also get incredibly busy when markets get rough. They remind you of your plan when emotions run high.
According to Vanguard, advisers add around 3% extra per year to returns through planning, discipline, tax efficiency, and behavioural coaching.
That doesn’t sound like much – but over decades, it’s massive. Thanks to compounding, that 3% could mean hundreds of thousands of extra rands by the time you retire.
Advice reduces stress and improves confidence
Financial advice isn’t just about returns, it’s also about your peace of mind.
When you have someone guiding you – someone who understands your risk tolerance, your family’s goals, and the realities of the South African market – you feel more in control.
Most of this confidence comes from knowing that you’re working towards a specific goal, knowing that you’re making better decisions and avoiding procrastination.
Isn’t it expensive to get advice?
A common criticism is that using an advisor is expensive. Here’s the reality: bad decisions cost more than good advice.
Yes, there’s a fee. But all you need is one or two missteps in your own decisions and the cost could be far higher. The right adviser can help you avoid costly pitfalls and make the most of what you already have.
Think of it this way: would you rather pay a small percentage now, or lose years of growth because of one bad call?
Your next step
Ask yourself:
Am I saving enough to retire comfortably?
Are my investments properly diversified and tax-efficient?
Do I review my plan regularly?
Am I confident I can handle the next market dip — or global crisis?
If you’re unsure, now is a good time to speak to a Brenthurst adviser.
We understand the investment landscape, the rules that apply to your retirement funds, and how to get the most out of every rand you save.
Because in the end, good advice doesn’t cost – it pays.
* Suzean Haumann as a Certified Financial Planner® professional and head of Brenthurst Wealth TygerValley. suzean@brenthurstwealth.co.za.