Tech & Tonic: Advice service hits roadbump, Slack shares and care costs

Slack wows Wall Street with multi-billion dollar valuation  (image by Pankaj Patel)

Slack wows Wall Street with multi-billion dollar valuation (image by Pankaj Patel)

News story of the week: More change for Government money advice shake-up

The Money Advice Service (just one organisation of its kind which doesn’t actually offer advice - just sayin’), the Pensions Advisory Service and Pensions Wise will be merged into one for consumers - the Money and Pensions Service, or MAPS, cum next year. The merger process is already underway behind-the-scenes, but is not without a distinct air of fishiness, just three months after work began.

In one of the most random reasons for quitting a high-profile job after three months that we’ve ever come across, the chief executive John Govett has left the post due to 'an impending family relocation,' New Model Adviser reported. Govett and family’s relocation must be pretty life-changing to have cropped-up all of a sudden, as it appears. Maybe he’s been asked to block out the next five years for a residency on Boris Island, to advise the next PM on how to avoid our mass financial ruin?

If anyone fancies a crack at it and have at least three months spare, applications for Govett’s replacement will commence shortly. In the meantime, congrats to commissioning and partnerships director for MAPS Caroline Siarkiewicz, who is now interim chief executive.

Comment piece of the week: The expense we often forget to plan for

Philip Wise, a charted financial planner from advisory firm Informed Choice highlighted the realities of failing to factor-in care home costs, should clients need such services in later life.

Writing for Adviser Points of View, Wise reveals costs for care in his local area of Guildford often amount to £5,000 a month. He balances out the cautionary tales with stats. on how many of us go on to need care (a third of the population) and points out that stays are usually relatively short and closes with a range of viable options people can take in order to prepare.

Number of the week: $25bn.

The staple messaging app for fintechs everywhere, Slack, enjoyed a successful New York Stock Exchange debut yesterday, to the tune of $25bn. Just like a certain loss-leading blue birded tech brand, Slack has been operating at a loss. Founded in 2013 by Canadians Stewart Butterfield and Cal Henderson, the app’s revenue is set to “almost double in 2020 to between $590m and $600m”, according to The Independent.

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