Many look for one-time engagement for financial planning: ICICI Securities

The company recently launched its investment advisory services earlier this month

The broking arm of India's largest private sector bank, ICICI Securities says it is seeing many clients looking for only one-time engagement for financial planning. The broking firm launched its investment advisory services earlier this month under the new Investment Advisors Regulations of 2013 of the Securities and Exchange Board of India (Sebi). 

 

“We see two types of customers – one who prefer to engage our advisory services on an ongoing basis so that their financial plans and investments are reviewed, monitored and re-balanced regularly. The others are self-motivated customers who like a one-time comprehensive plan and advice on their portfolio. To such customers, we recommend our Financial Planning Services which comprises a complete analysis of their current financial situation, goals and current portfolio. The financial plan is customised and gives specific advice on the next steps that customers need to take," said Abhishake Mathur, Senior Vice President - Investment Advisory Services, ICICI Securities. And many of the clients the firm is seeing are self-motivated, savvy investors and looking for a one-time engagement for their financial planning.

 

At present, the firm is offering four services -  Financial Planning, Portfolio Evaluation, Estate Planning and Comprehensive Advisory (financial planning and portfolio evaluation). The first two services are one-time engagements where an ICICI Securities' advisor understands the customer needs and makes a long-term financial plan for him. It takes 15 to 20 days to collect data from clients and prepare a financial plan. Or, an existing portfolio is evaluated and the client advised on how to tweak / rectify the allocation. 

 

These two services are for those who are self-motivated about their financial planning and investments and only need some guidance with the same, says Mathur. The Comprehensive Advisory service is where the customer subscribes to ICICI Securities' service for a period of time, say one year or two years, over which the advisors engage with the client for more than once. It is always suggested that for the best results from financial plans one should engage with financial planners / advisors over a longer period. 

 

Getting a financial plan done from ICICI Securities' investment advisory team will cost you Rs 15,000. Portfolio evaluation will cost 0.15 per cent of the portfolio or Rs 15,000, whichever is higher. Estate Planning could cost Rs 7,500 and onwards, depending on the complexity of the case. And a Comprehensive Advisory service will cost Rs 25,000 a year. 

 

At present, the firm has 15 financial advisors. ICICI Securities is looking to add 10 more advisors in this financial year. The firm has around 1,500 clients at present, a large part of which are existing clients of the ICICI Group across verticals.