View more on these topics

Furore as wrap chief says there are only 5,000 credible IFAs

Advisers have reacted angrily to Nucleus boss David Ferguson’s claim that only 5,000 of the 30,000 IFAs working in the sector can be deemed “credible”.

Ferguson says this means that new players in the wrap market have a very limited audience because most of those “good” IFAs have already committed to a platform.

He says: “There are only really 5,000 good IFAs working in the UK at the moment. As the retail distribution review becomes imminent, I think that 5,000 number will start to rise and over the next three to five years, we will end up with a much larger sector of quality IFAs but at this time, it really is a small audience.”

Tenet distribution and development director Keith Richards says his firm has 5,500 members, all of whom he believes are credible IFAs. He says: “This must mean we have the entire population of quality IFAs under our umbrella.

“It is a dangerous and sweeping assumption to make and, to be quite frank, offensive to the majority of the IFA population, who have worked hard over the years and are committed to continued professional development. The statement is simply not helpful or constructive.”

Simply Biz chairman Ken Davy says Ferguson is misjudging the ability of the vast majority of IFAs He says: “We are already seeing significant progress among the firms that we serve to embrace both the increased professionalism, service levels and product design aspects that will probably be required of them in the coming years.”

Responding to the criticisms, Ferguson says: “I am in agreement with Davy in that I believe that change for the better is already under way. But I don’t think it is dangerous or unconstructive to make this kind of observation as we have to confront these issues. Until more IFAs are willing to operate on a completely transparent model, many will still not be the target market for wraps.”


Sour note from Sandler

Northern Rock boss Ron Sandler’s speech at the CII president’s dinner last week angered many advisers in the audience.

Aegon raises guarantee prices

Aegon Scottish Equitable is the latest variable annuity provider to increase prices after recent market volatility has seen the cost of guarantees soar.

Pru profit boosted as Thiam takes on top role

Prudential chief executive Mark Tucker is to step down in September after last week revealing a profit increase of 17 per cent in the firm’s preliminary results for 2008.Tucker will be succeeded by group financial officer Tidjane Thiam, who is set to become the FTSE 100’s first black chief executive. Tucker has been at the […]


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