A friendship that lasts more than 40 years is no mean feat — especially when it is built on decades of conversations about a topic as divisive as money. But for Amanda Frolich and Paul Silver, finances are the foundation of their enduring relationship.
They met in 1985 when a 15-year-old Frolich started dating the younger brother of Silver’s girlfriend at the time. They joined family holidays to Europe and even threw a joint party to celebrate his 21st birthday and Frolich’s 18th.
But when their respective relationships came to an end, the pair lost touch. Silver followed in his father’s footsteps to become a financial adviser, joining the insurance giant Prudential in 1988. And Frolich pursued a career in sports and physical development.
Their paths crossed again in the 1990s when she needed help with a shortfall on her endowment mortgage — a type of home loan that boomed in popularity in the 1980s but was mired in a mis-selling scandal.
An endowment mortgage was made up of an interest-only loan with a lender, which meant that monthly costs were very low, and an endowment policy with an insurer with the intention that its payout would clear the mortgage once it matured. A big selling point was that the policy should pay enough that there would be surplus funds left over.
But millions of borrowers were sold these policies on the basis of predicted investment growth that never materialised, meaning that when their policy matured there was often a significant shortfall in funds and they did not have enough to repay their mortgage.
For Frolich the shortfall was about £28,000. She needed financial advice and went to Prudential — where Silver turned out to be her adviser. He helped her out of the predicament and spent 30 years giving her financial advice.
“When we sat down all those years ago to sort out her endowment mortgage and I asked about her financial goals, one of the things she wanted to achieve was to pay off her mortgage by the time she was 50. Which she did,” said Silver, 58.
He set up an independent financial advice firm in 1999 with his business partner and Frolich remained a loyal client, especially when finances became a family affair.
“You name it and Paul has helped me with it. My pension, regular reviews of mine and my husband’s savings and Isas, a child trust fund for my daughter and when we needed critical illness cover for the mortgage,” said Frolich, 55.
“I recommend him to everyone, he is just a lovely all-round guy. He has always been on the other end of the phone whenever I have needed him and he’ll pop round and we’ll have our meetings at home.”
Outside their relationship as adviser and client, the pair are still celebrating life’s milestones together. They were at each other’s 50th birthday parties and Frolich — who owns the children’s entertainment company Amanda’s Action Club — was the entertainer at Silver’s son’s first birthday party more than 20 years ago.
She said: “I tell Paul everything that happens in my life. He looks out for me, even if it’s just general guidance or life advice rather than professional financial advice. He is like my protector.”
Silver, whose company First Financial Solutions is based in Chalfont St Peter, Buckinghamshire, and who has moved away from wealth management to focus solely on mortgage advice, said that honesty and customer service are his secret for retaining lifelong clients.
“At Prudential they put a lot of emphasis on customer service, which I still believe in today. I am friends with a lot of my clients. Just two weeks ago a client called to ask if I was free for a cup of tea and just wanted a chat about life.
“This is common for financial advisers. You have to be familiar with people’s life events to help and guide them through the right decisions, and this goes beyond just money. It can be quite tough at times, and I have been to a few funerals, but it’s about always being on the other end of the phone when you are needed,” said Silver.
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Ties that bind
A survey by the advice firm St James’s Place and the polling company Opinium of 12,000 adults last year found that three out of five people who had received financial advice had kept the same adviser since the start. A third said the strong relationship was the main reason for staying.
Silver said: “You also need to know when to turn down business. Amanda recently asked me for help with a mortgage for renovation works, but it was such a small loan that I told her it would be in her best interests to approach her bank, which wouldn’t charge a fee, and meant she wouldn’t have to pay me a fee either.
“The same happened with a client yesterday looking for a £20,000 loan. Honesty and integrity really pay in this business. And you also have to know when to signpost to another professional, such as an accountant or lawyer.”
Frolich recently raised £40,000 to make a pilot for a TV series tackling childhood obesity. She is aiming to raise another £2 million and has been using her adviser as a sounding board for her capital raising, although he cannot give her professional advice.
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How to pick a good adviser
In 2023 the Financial Conduct Authority (FCA), the City regulator, introduced consumer duty rules, which require advisers and other financial businesses to ensure “good outcomes” for clients.
The regulator is also in the middle of a review of the advice industry amid concerns that some clients are paying for services that they do not need, or are not getting, and it is cracking down on firms that are not clearly communicating costs.
Big life events, such as buying a property or inheriting a lump sum often trigger searches for financial advice. There are more than 30,000 advisers in the UK and picking the right one can feel like a stab in the dark.
A personal recommendation from a friend or family can make the process easier, but also do your own research. The FCA has a register of all regulated advisers and you should check it for any black marks against the name of the advice firm you are considering.
Referring to Google and Trustpilot reviews can also flag any issues, while online directories such as Unbiased and VouchedFor also have reviews of regulated financial advisers.
Independent advisers are allowed to recommend products and investments across the whole market, whereas those who are restricted to a certain company can recommend only products and services attached to that brand. If you pick the latter, you are unlikely to get the most competitive pricing.
It is crucial to understand any fees — some advisers will take a percentage of your investment and others will charge a flat fee or an hourly rate, that can be as high as £250, so make sure you ask for a clear breakdown of work they have done, as you would with an accountant or solicitor. Many advisers will offer a free initial consultation, which is your opportunity to get a firm and clear quote of how much their services will cost based on your circumstances.
If you are not happy with the service from an adviser, or you think you have been mis-advised, you should first complain to the company. If that is not successful, you can go to the Financial Ombudsman Service, which is free to use.
