View more on these topics

Business tips: Is tiered service always right?


Many firms adopted tiered service following the RDR, which typically comprised three levels from full financial planning through to transactional. Since then, firms have a better understanding of costs and client reaction to prices and many have moved to a more informed decision about who to target and what service they really value.

This has resulted in more firms offering a single service with variations in the amount of service that clients buy as opposed to distinct packages of service.

If you answer “yes” to these questions, consider a single service policy:

  • Are over 80 per cent of your clients very similar in terms of their service needs?
  • Do you provide the same components of service to clients, with some simply buying more of your time and expertise than others?
  • Are more than 80 per cent of your service outputs to clients identical?
  • Do most of your advisers operate in a similar way with similar clients?
  • Do you have very few pure transactional clients?

A single service structure is not for all firms but the benefits are streamlining and consistency which can be harder to achieve under a tiered structure. 

David Shelton is the author of The Business of Advice book and website



FSCS to pay out to Sipp Catalyst investors after tax delay

The Financial Services Compensation Scheme is to pay compensation to those who invested in failed life settlement firm Catalyst through a Standard Life Sipp after a six-month delay.  Catalyst was censured by the FCA in October 2013 for misleading investors when promoting bonds issued by Luxembourg-based life settlement vehicle ARM Asset Backed Securities. It trigged […]


Pensioner bonds to pay up to 4%

The Government’s “pensioner bonds” will pay investors an annual interest rate of 2.8 per cent for the one-year bonds and 4 per cent for three-year bonds, the Treasury has announced. First promised in the March Budget, the bonds are available through National Savings and Investments and will have a limit of £10,000 per bond per […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers. Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and thought leadership.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm