The poll found that 14 per cent will exit the market, 84 per cent will remain independent and 2 per cent plan to become tied advisers. Of those polled, 14 per cent feel they are either not equipped or prepared to meet the RDR requirements.
JPMAM head of retail distribution Jasper Berens says: “Adviser numbers will undoubtedly fall post-RDR and this will have a knock on effect on both the remaining advisers and investors.”
Berens says for IFAs looking to sell their business, then now is the time to start preparing their business for sale.
He says: “In the short term those advisers planning on leaving the industry need to the think about the best time to exit the business. It’s a tough market in which to sell your business at present but advisers shouldn’t be fooled into thinking that valuations will go up in the next few years.
“In fact, in the rush to sell before 2012 the market could become flooded.”