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Practice-Based Knowledge Perspectives of Cultural Competence in Australian Financial Advice Cover

Practice-Based Knowledge Perspectives of Cultural Competence in Australian Financial Advice

Open Access
|Feb 2025

Figures & Tables

Summary of Key Themes and Subthemes

Theme and subthemeNo. of occurrences
1. Lack of visible diversity in the industry
  Perception of homogeneity among advisers and clients21
  Impact of cultural background on financial advice21
  Cultural similarity and client–adviser relationships5
2. Concerns of bias and labels in cultural interactions
  Concerns about perceived racism4
  Experiences of discrimination3
3. Perceived limitations and challenges in cultural competence
  Self-perceived cultural competence19
  Challenges in assessing cultural competence (incompetence)15 (3)
  Other factors (e.g., age, gender, language, personal values, religion)
    Age1
    Gender5
    Language8
    Personal values or personality7
    Religion3
4. Pathways to acquiring cultural competence
  Life experience and travel13
  Workplace exposure and training6

Participant Geographic Distribution and Representativeness

StateNo. of participants% of participant pool% of population
NSW523.831.8
VIC523.825.9
QLD419.020.2
WA314.310.4
SA14.86.9
TAS14.82.0
ACT14.81.7
NT14.81.0

Interview Questions Design

Interview questionResearch questionLink to the literature
Introductory question: First I am going to clarify what I mean by cultural background: Your cultural background is often thought of as your ethnicity, but it is also the values, attitudes, traditions and beliefs that have been passed down from your family and the society you grew up in. It is distinct from religion or gender.RQ1Cultural competence frameworks suggest that understanding one's cultural background is foundational to improving cross-cultural interactions (Fitzgerald 2000; Betancourt et al. 2005).
1. I'd like you to think about your experience of providing or receiving financial advice in Australia. In particular, are there any events you can recall where the cultural background of the client or adviser had an impact on the provision of the financial service.RQ1The role of cultural background in professional interactions, particularly in advisory settings, is crucial in shaping the effectiveness of service delivery (Chen & Li 2009; Betancourt et al. 2005).
2. How do you perceive your own cultural background affecting the adviser–client relationship?RQ1Self-awareness of cultural background is a key component of cultural competence, which influences professional–client relationships (Fitzgerald 2000, as cited in Stewart 2006; Livermore 2018).
3. What impact/benefit do you think an adviser having an understanding and awareness of their own cultural background would have on adviser–client relationships?RQ1, RQ2Understanding one's own cultural assumptions enhances empathy and improves the quality of service in culturally diverse environments (Stewart 2006; Betancourt et al. 2005).
4. What do you think are the outcomes/benefits of being a culturally competent adviser?RQ2Culturally competent professionals are shown to have better client outcomes, including enhanced communication and trust (Betancourt et al. 2005; Chen & Chen 2011).
5. Would you say financial advisers in general are culturally competent?RQ2The perception of cultural competence in various professions is often linked to formal training and education, which remains limited in financial advising (Cull & Davis 2013; Bryant 2001).
6. Is there anything else about this topic you would like to discuss?RQ1, RQ2Open-ended reflection encourages deeper exploration of the topic, which can uncover additional insights not initially addressed (Fetterman 1998).
Concluding question: Of all the things we've discussed today, what would you say are the most important issues you would like to express?RQ1, RQ2Summarising and prioritising key issues helps solidify the main themes and insights drawn from the interview (Creswell & Poth 2017).

Participant Details

ParticipantCultureGenderLength of interview in minutes
1Anglo-AustralianMale24
2Anglo-AustralianMale24
3Anglo-AustralianMale37
4Anglo-AustralianFemale33
5Anglo-AustralianFemale52
6SingaporeanFemale14
7BritishMale23
8Anglo-AustralianMale20
9Anglo-AustralianMale39
10GreekMale60
11Anglo-AustralianMale22
12Anglo-AustralianMale15
13Indigenous AustralianMale20
14MixedFemale26
15ItalianMale32
16Anglo-AustralianFemale23
17LebaneseMale22
18Anglo-AustralianFemale49
19SerbianMale39
20MixedMale39
21Middle EasternFemale29
DOI: https://doi.org/10.2478/fprj-2025-0001 | Journal eISSN: 2206-1355 | Journal ISSN: 2206-1347
Language: English
Published on: Feb 6, 2025
Published by: Financial Advice Association of Australia
In partnership with: Paradigm Publishing Services
Publication frequency: 2 issues per year

© 2025 Amanda Craft, Mark Brimble, Michelle Cull, Kirsten MacDonald, Katherine Hunt, published by Financial Advice Association of Australia
This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.