Sgt.Rock Posted August 19, 2010 Share Posted August 19, 2010 I'm getting to that age where pension decisions are becoming more important, and I'd like some financial advice. But I don't want a bloke sat in my living room just trying to sell me policies that he earns a big commission on. Does anyone have any idea/experience of how much financial advisers who work for a fee only actually charge? Has anyone ever used them and still felt that they got a poor/biased recommendation? Can anyone recommend a good IFA? Link to comment Share on other sites More sharing options...
Beverley Posted August 19, 2010 Share Posted August 19, 2010 go to www.unbiased.co.uk and there are lists of IFAs in all areas of the uk. some will be fee only, some will be on a commission basis. just gotta have a wee look see. there is a regular poster here who is an adviser though i think. the big fella who just got married a few weeks ago with the shrek avatar (i'd say john mitchell, but you're not meant to mention posters who've not posted on a thread ) Link to comment Share on other sites More sharing options...
Sgt.Rock Posted August 19, 2010 Author Share Posted August 19, 2010 go to www.unbiased.co.uk and there are lists of IFAs in all areas of the uk. some will be fee only, some will be on a commission basis. just gotta have a wee look see. there is a regular poster here who is an adviser though i think. the big fella who just got married a few weeks ago with the shrek avatar (i'd say john mitchell, but you're not meant to mention posters who've not posted on a thread ) Ta Bev. I did have a look at that website: there's a few advisers around West Edinburgh, but I think pretty much all of them did both commission and/or fees (maybe I'm just too cynical but I can't believe that an IFA who will give 'best advice' to my next door neighbour while earning commission can then completely change the way he thinks when he comes to my house to provide best advice to me for a fee. There's also no indication of the charges... Link to comment Share on other sites More sharing options...
blairdin Posted August 19, 2010 Share Posted August 19, 2010 I hate sounding like a sook, but John M seen me right with good advice about sticking with what I had and not moving, at the expense of commision for himself. If that's not a sign of someone genuine, I dunno what is. He's one ugly git' to have over to your living room though... Link to comment Share on other sites More sharing options...
Sgt.Rock Posted August 19, 2010 Author Share Posted August 19, 2010 I hate sounding like a sook, but John M seen me right with good advice about sticking with what I had and not moving, at the expense of commision for himself. If that's not a sign of someone genuine, I dunno what is. He's one ugly git' to have over to your living room though... I can live with him wearing a paper bag on his head if he gives sound financial advice through it... Link to comment Share on other sites More sharing options...
Radioactive Mince Posted August 19, 2010 Share Posted August 19, 2010 I can live with him wearing a paper bag on his head if he gives sound financial advice through it... Had JM out a couple of weeks ago for mortgage advice and again today to help me decide on life insurance. He genuinely tries his best for you, even though it might not be the most financially rewarding thing for him to do at times. A sound big guy. Link to comment Share on other sites More sharing options...
I P Knightley Posted August 20, 2010 Share Posted August 20, 2010 I've had my fair share of financial advisers over the years; some ok and some downright snake oil salesmen (particularly back in the early '90s when the regulation was much more shoddy than it is now). At my last change of advisor, I was tempted to go with a flat-rate fee kind of arrangement but ended up going with a deal which costs me a percentage of the funds. I'm getting good service, regular reviews and advice and the costs to date (I've been with them 4 years) have been very fair and, I imagine (for the firm I'm using), a heck of a lot less than if I'd been paying by the hour for their time. I've been demanding of them without becoming a pest - regular calls to check whether they're keeping an eye on the portfolio and have considered any new products for me but not querying every decision and calling up with each stock market movement. The key advice I'd give to anyone looking for an advisor is to take a personal recommendation from people you trust over a set of figures given on a website. Peace of mind is extremely valuable and it would be unwise to look for the cheapest deal at the risk of not getting sound advice. Link to comment Share on other sites More sharing options...
micole Posted August 20, 2010 Share Posted August 20, 2010 I have had my FA for over 20years saved me a bundle, I would agree with other posters try and go by personal recommendation wherever possible. Link to comment Share on other sites More sharing options...
Bigsmak Posted August 20, 2010 Share Posted August 20, 2010 I'm started as an IFA recently and currently studying for my exams while working to become qualified. Offering you a Product just to get the fee's would be illegal. The industry is very heavily regulated against miss selling (but could do with a little more here and a little less there) any advice had to be the best that we can offer and the product has to be the best we can find. (i.e. better than the one you are on if you want to change) With regard to the fees and commission. That's how we get paid. Otherwise we would give the advice for nothing. You can pay up front but most people like it to come out as a commission payment from the product they buy. Also - this industry is all about word of mouth so if you do a good job, like JM has done for people on this thread, then they tell their friends and colleagues and thats how you get work. So if you were to do a bad job, then you wouldn't do very well! Hope that made sense! Link to comment Share on other sites More sharing options...
grumpy rebus Posted August 20, 2010 Share Posted August 20, 2010 Make sure any advice you get is from a qualified adviser and agree any costs up front. Most advisers will (should) cover the cost of the first meeting. And don't just go for the cheapest costs - you get what you pay for. BTW, pensions are fairly straightforward in most cases so the fees shouldn't be too much Link to comment Share on other sites More sharing options...
The Old Tolbooth Posted August 20, 2010 Share Posted August 20, 2010 I hate sounding like a sook, but John M seen me right with good advice about sticking with what I had and not moving, at the expense of commision for himself. If that's not a sign of someone genuine, I dunno what is. He's one ugly git' to have over to your living room though... Ha ha, your fees have just trebled for the next time you need me ya git! I can live with him wearing a paper bag on his head if he gives sound financial advice through it... Think of a white Shrek and your there Sgt Had JM out a couple of weeks ago for mortgage advice and again today to help me decide on life insurance. He genuinely tries his best for you, even though it might not be the most financially rewarding thing for him to do at times. A sound big guy. FreddyRinconsAmazingBalance? Your just Mince! Link to comment Share on other sites More sharing options...
Beats Posted August 20, 2010 Share Posted August 20, 2010 Listen to John he gives good financial advice Just don't let him near your record collection or he will talk you into swapping them for golf balls Link to comment Share on other sites More sharing options...
The Old Tolbooth Posted August 20, 2010 Share Posted August 20, 2010 Listen to John he gives good financial advice Just don't let him near your record collection or he will talk you into swapping them for golf balls *******! Link to comment Share on other sites More sharing options...
Big G Posted August 20, 2010 Share Posted August 20, 2010 There is no "Independent" advice, they all represent a product,or series of products, Only you know what you are looking for, and what the objective is that you want to achieve. Do some research on what return, risk, and long terms goals are, then source the product that matches what you are looking for. Link to comment Share on other sites More sharing options...
The Old Tolbooth Posted August 20, 2010 Share Posted August 20, 2010 There is no "Independent" advice, they all represent a product,or series of products, Only you know what you are looking for, and what the objective is that you want to achieve. Do some research on what return, risk, and long terms goals are, then source the product that matches what you are looking for. The statement I've highlighted makes no sense, either an adviser is "tied", or he/she is "whole of market", therefore making him independent. Link to comment Share on other sites More sharing options...
Era Macaroons Posted August 21, 2010 Share Posted August 21, 2010 The statement I've highlighted makes no sense, either an adviser is "tied", or he/she is "whole of market", therefore making him independent. I think he means there is no IFA in the world that isnt working out their commission as they are passing on the independent advice. Link to comment Share on other sites More sharing options...
The Old Tolbooth Posted August 21, 2010 Share Posted August 21, 2010 I think he means there is no IFA in the world that isnt working out their commission as they are passing on the independent advice. I see what you mean mate, and he's mostly wrong. Some advisers do but only the rogue ones, and it's not something I would ever do, it's not worth it as I want people to come back to me, if that makes sense. Anyway, not seen you posting for a while mate, hope your doing ok. Link to comment Share on other sites More sharing options...
Era Macaroons Posted August 21, 2010 Share Posted August 21, 2010 I see what you mean mate, and he's mostly wrong. Some advisers do but only the rogue ones, and it's not something I would ever do, it's not worth it as I want people to come back to me, if that makes sense. Anyway, not seen you posting for a while mate, hope your doing ok. Youve ob not been on the 'European Pouring Systems' thread then ....shortly getting moved to the classics. I dont doubt yout integrity for a minute. Surley 'Tied' agents must be on a hiding to nothing?.....i.e.only represent the company they work for, how can they give true adviceon the market? the other salesmen...(the Independents) .......must hate telling someone, keep your ?250,000 where it is. Link to comment Share on other sites More sharing options...
Big G Posted August 21, 2010 Share Posted August 21, 2010 I'm sure an IFA gets paid for recommending a product I'm sure an IFA needs products to recommend, otherwise what can he/she sell? I'm sure an IFA does not turn round and say: " go elsewhere as I do not have any products to recommend, and if I did, then I'm recommending them as I am impartial and receive no financial remuneration for doing so." Every business has a product to sell, and an IFA is no different, nothing wrong with that. Link to comment Share on other sites More sharing options...
Big G Posted August 21, 2010 Share Posted August 21, 2010 I forgot to add, the correct term for an IFA, should be Broker, surely? Probably just a cultural thing. Over here, there's brokers, and they do exactly what John probably does- freedom to choose the whole range of products. Link to comment Share on other sites More sharing options...
Era Macaroons Posted August 21, 2010 Share Posted August 21, 2010 I'm sure an IFA gets paid for recommending a product I'm sure an IFA needs products to recommend, otherwise what can he/she sell? I'm sure an IFA does not turn round and say: " go elsewhere as I do not have any products to recommend, and if I did, then I'm recommending them as I am impartial and receive no financial remuneration for doing so." Every business has a product to sell, and an IFA is no different, nothing wrong with that. http://www.youtube.com/watch?v=cipHKAvaZXU Aha...so they're just doing it for the money! not out of sheer kindness, Link to comment Share on other sites More sharing options...
grumpy rebus Posted August 21, 2010 Share Posted August 21, 2010 I'm sure an IFA gets paid for recommending a product I'm sure an IFA needs products to recommend, otherwise what can he/she sell? I'm sure an IFA does not turn round and say: " go elsewhere as I do not have any products to recommend, and if I did, then I'm recommending them as I am impartial and receive no financial remuneration for doing so." Every business has a product to sell, and an IFA is no different, nothing wrong with that. An IFA has advice to sell, not a product. If you agree a "fee structure" with your adviser, you'll pay the agreed amount, regardless of products bought. You buy my time and expertise, not a product. So your comment above is basically wrong. Personally, most of my clients pay an annual amount (usually based on assets under management) which includes their tax advice and underlying investments. I take very little (in relative terms) up front as I'd rather get a recurring income on an annual basis than start each year looking for ?XXXK in new income. It also helps build an underlying value in the business. As for telling them to go elsewhere, as an IFA, I have access to the whole of the market, so I can recommend across the spectrum, unless it's something like bank accounts where the client needs to apply directly, in which case I tell them which account with which provider/account meets their needs (and will confirm in writing if required). It's all about doing the job properly and gaining the trust of clients, as I'm sure John will agree. (I actually consulted John about my own mortgage, as it's not my area of expertise, and he was very good) Link to comment Share on other sites More sharing options...
Jam Tarts 1874 Posted August 21, 2010 Share Posted August 21, 2010 An IFA has advice to sell, not a product. If you agree a "fee structure" with your adviser, you'll pay the agreed amount, regardless of products bought. You buy my time and expertise, not a product. So your comment above is basically wrong. Personally, most of my clients pay an annual amount (usually based on assets under management) which includes their tax advice and underlying investments. I take very little (in relative terms) up front as I'd rather get a recurring income on an annual basis than start each year looking for ?XXXK in new income. It also helps build an underlying value in the business. As for telling them to go elsewhere, as an IFA, I have access to the whole of the market, so I can recommend across the spectrum, unless it's something like bank accounts where the client needs to apply directly, in which case I tell them which account with which provider/account meets their needs (and will confirm in writing if required). It's all about doing the job properly and gaining the trust of clients, as I'm sure John will agree. (I actually consulted John about my own mortgage, as it's not my area of expertise, and he was very good) I've been in the industry for over 20 years and still it never ceases to amaze me that people expect advisers to work for nothing. I wonder how people think advisers make a living. Link to comment Share on other sites More sharing options...
grumpy rebus Posted August 21, 2010 Share Posted August 21, 2010 I've been in the industry for over 20 years and still it never ceases to amaze me that people expect advisers to work for nothing. I wonder how people think advisers make a living. Likewise mate. Especially find it with public servants, who we pay for whether we use their service or not. Whereabout do you work? We may have crossed paths at seminars etc. Link to comment Share on other sites More sharing options...
Sgt.Rock Posted August 21, 2010 Author Share Posted August 21, 2010 Thanks for all the comments. No real surprises - I certainly don't expect anyone to work / advise / broker for nothing, but I was really wondering if my assumption (that IFAs working for a fee won't subconciously still favour products that they might otherwise have made good commission on) is realistic. Useful info nonetheless... Link to comment Share on other sites More sharing options...
The Old Tolbooth Posted August 21, 2010 Share Posted August 21, 2010 Thanks for all the comments. No real surprises - I certainly don't expect anyone to work / advise / broker for nothing, but I was really wondering if my assumption (that IFAs working for a fee won't subconciously still favour products that they might otherwise have made good commission on) is realistic. Useful info nonetheless... Hi Sgt Rock, the way I have to do things (as does every other IFA/mortgage adviser) is that when I recommend a certain product for a client, I have to show my evidence of the products researched and document it in a client file in case I need to call on that file again at some point in future. Not only that but I also have to produce a Suitability Reoprt (don't we just love doing them Grumpy and JT 1874 ) fully explaining what product I have advised you to do, and why I have advised you to do it. All this info gets kept in your file, and my clients get a copy of the info also for their own records. Back in the day it was very likely that an adviser would choose a product that made themselves the most commission, however nowadays if your found out to be doing such a thing, then you get absolutely hauled over the coals, and it's simply not worth it as your then adjudged to have mis advised the client and the adviser will more than likely be due the mis advised client compensation to redress the balance so that the client is no worse off than he would have been in the first place (if that makes sense) In short, advising clients to take out products because it suits an advisers pocket is more or less a thing of the past, because if you get caught doing it (very likely these days) then the consequences are very severe for the adviser, and quite rightly so too imo. Hope this helps Sgt Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.