View more on these topics

David Shelton/Tip of the week: Why an hourly rate works


At present, around 80 per cent of advisers base their charging structure on percentage of monies invested. This is slowly changing toward project fees or hourly rates, the case for which can be summarised as follows:

  •  Clarity and transparency for clients
  • Removal of negative client perceptions about percentage charges
  • Direct fit with other professional practices
  • A method of charging understood by professional introducers
  • All good back-office software has time-charging functionality
  • All work is paid for and very little will be given away.

Of course there are issues about accounting and invoicing which may require different processes although the back-office software should support these. 

Finally, the use of products and funds to facilitate fee-based adviser charging clearly supports the use of an hourly rate proposition. 

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



Fidelity multi-asset fund ditches Reits on HMRC guidance

Multi-asset funds that are classified as “interest-paying” can no longer invest in real estate investment trusts in the wake of HMRC guidance released this year, Fidelity Worldwide Investment says. The firm’s Multi Asset Income fund sold its small holding in a UK Reit recently because of its interpretation of the tax guidance. A Fidelity spokesman says […]


Brian Tora: Beware the headline promises

With the summer holidays upon us and the City of London sweltering in Mediterranean temperatures, it is difficult to take the business of investment too seriously.  Perhaps this is just as well given the multitude of geopolitical issues which markets appear to be comprehensively ignoring. With tensions rising between Israelis and Palestinians, no end in […]


FCA department heads promoted in management shake-up

The FCA is promoting three heads of departments to director level and considering bringing in new heads of department in underneath them. Head of specialist supervision Nausicaa Delfas is now director of specialist supervision, head of general insurance and protection Simon Green becomes director of general insurance and protection, and head of savings, investments and […]


Lloyds profits slump after fresh PPI hit

Lloyds Banking Group’s profits plummeted almost two-thirds in the first half of 2014 as the bank took further hits for its role in the Libor and PPI misselling scandals. The group has today reported a pre-tax profit of £863m for the first half of 2014, down 58 per cent from £2.1bn last year. Lloyds says the […]

Qatar cover image - thumbnail

White paper — Qatar International Insights

Jelf Employee Benefits highlights new legislation, key requirements and policy considerations when structuring international private medical insurance (IPMI) for expatriate employees in Qatar. This edition will be of particular interest to global human resource directors, compensation and benefits specialists and mobility managers who have employee populations in Qatar.


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 advice.

    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