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What’s in a name? Is Independence necessary or desirable post RDR?. David Burns Executive Director, NMG Consulting. So what’s Independent advice and what’s Restricted advice?. …or we could simply agree to disagree!. We could spend the entire session debating this. Which is which?. - PowerPoint PPT Presentation
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What’s in a name?Is Independence necessary or desirable post RDR?David BurnsExecutive Director, NMG Consulting
So what’s Independent advice and what’s Restricted advice?
…or we could simply agree to disagree!
We could spend the
entire session
debating this
Which is which?
► There are no off-the-shelf solutions…every single one of our clients has their own personal concerns, responsibilities and ambitions…
► We offer a range of carefully constructed, risk-rated portfolios that enables you to spread your investments across a wide range of asset types and countries
► The cornerstone of our approach is our Investment Committee who 'manage the fund managers' on behalf of our clients
► Our planning process…how we get from where you are to where you need to be
► We offer several active portfolios, to suit every risk appetite…we select a range of funds from a variety of expert fund managers and management houses
► Our Wealth Management Committee meets quarterly to discuss the merits of where we have invested
Single Tie
Single platform, c100 funds, core provider, gap fill
WoM but in practice 70% of business placed
with 3 providers, packaged products
Single platform, narrow investment proposition
TODAY: Most firms operate hereTODAY: Most firms operate here
Retail investment products, multiple
platform and product usage,
additional monitoring
How IFAs describe RA
How IFAs describe RA
The Advice Continuum
Which will you choose…and why?
Whole of market
Passive restricted
Active restricted
Does the customer actually care…or even know?
…or do they simply want to
know their adviser isn’t biased and that they don’t have ‘all their eggs in one
basket?
Do customers demand
independent financial advice?
Ask yourself…
Are you entirely happy with the range of products and services you are able to offer your clients today?
Is your current model fully compliant with the new whole of market rules?
So why do you need to be independent going forward?
Yes
Maybe not
?
If you had to choose one of these, which would it be and why…
Active
clien
tsA
ctive clie
nts
FU
M (
mill
ion
s)F
UM
(m
illio
ns)
May 10 Nov 10 May 11 Nov 11 May 12
Mean value/client:
£99k £118k £129k £132k £140k
Does Restricted Advice present a solution for the mass market? IFAs are focusing on higher value clients and the banks have exited the mass (advice) market
David Burns
Executive Director
London Office +44 20 7631 3087
Email [email protected]
David Burns
Executive Director
London Office +44 20 7631 3087
Email [email protected]
