S2E10 Client Capacity

Challenge the Standard in Financial Advice

In this week's episode, Nathan and Jordan examine a big issue that ALL practitioners are going to have to confront in their career - our client's capacity to provide details, instructions and decisions with our advice.

Nathan and Jordan discuss:

• What IS client capacity and what are the different forms it takes?
• Why should financial advisers care?
• What are some tips for advisers to follow when navigating this complex area?
• What are the limits of adviser responsibility and involvement?
• What can we learn from other professions (particularly our colleagues in the legal space)?
• And, finally, what are some things we can start doing today to be prepared?

Given the space they each work in, this is a really interesting and important part of Nathan and Jordan's practices - hopefully that comes through in this week's discussion.

References

LIV Capacity Guidelines and Toolkit For Lawyers: download.aspx (liv.asn.au)

Law Society of NSW Reference: Clients mental capacity.pdf (lawsociety.com.au)

Case Review (Banks v Goodfellow) - 38-3-16.pdf (unsw.edu.au)

Goddard Elliott v Fritsch [2021] Case Note - Barry, Lise --- "Goddard Elliott v Fritsch [2012] VSC 87 - Case Note" [2012] MqLawJl 7; (2012) 10 Maquarie Law Journal 131 (austlii.edu.au)

Loss of Capacity (Further Reading): Australian Taxation Institute Journal - Loss of capacity – an issue for all advisers - Christine Smyth Estate Lawyers