Financial Advice that’s Clear, Fair and Independent
Financial Advice that’s Clear, Fair and Independent
The IFA Company is proud to offer independent financial advice. Lucy McKinley explains what independent advice means for clients and the advantages of using an independent financial advisor.
An independent financial advisor is not restricted in how they can advise clients, so they can choose from a wide range of products and services.
Independent advisors can offer advice tailored to the financial circumstances of individual clients. The best financial products for one person may be very different from the best products for another and an independent adviser will be able to match the right products and services to meet the solutions required by each individual client.
The alternative to using an independent advisor is to use a restricted advisor, who is tied to a particular company or range of investment products. Restricted advisors must fit their client’s requirements into the range of products and solutions they have available.
The best way to describe the difference between independent and restricted advice is to think of buying clothes. An independent advisor can create a bespoke solution for their client, the equivalent of a tailor-made fit.
A restricted advisor has to offer an ‘off-the-peg’ solution, they must find something from their products even if it is not a perfect fit.
It might be surprising but when it comes to financial advice, the tailored solution isn’t the most expensive. Many small advice companies choose to be independent as it gives them the freedom to operate as they wish. This includes having complete control over their charges and the freedom to apply different charging structures according to the needs of the client.
All financial advisors must declare if the advice they offer is independent or restricted, so it’s easy to find out what sort of advice an advisor offers.
by Lucy McKinley: MA CertCII DipPFS
For more information about how independent financial advice can benefit your financial situation, please call us on 01946 821150, email [email protected] or take a look at our website at www.ifaco.co.uk.
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