View more on these topics

Legal aspect

One very brief question. Currently, the Institute of Chartered Accountants and the Law Society only permit their members to deal with IFAs.

It would be interesting to know whether they will in future deal with the new authorised advisers as well as IFAs? As far as I can tell, the new IFA will have a prescribed method of remuneration.

The authorised IFA, while still being able to access the whole market, will be remunerated by commission. but there is nothing to stop him charging fees and rebating.

The main difference in this scenario is that the authorised adviser will be able to protect and continue to receive fund-based commission (subsidising up-front charges), which presumably the new IFA will not be able to do.

The authorised adviser will also probably be able to dodge the VAT issue, too.

If the other professional bodies are prepared to deal with authorised advisers, it would seem that we will be”a rose by any other name”.

Have I read the position correctly? Even if I have, it is too soon even to breathe – CP 121 has just been the artillery, a further onslaught, in the shape of Sandler, comes next.

Take cover!

Harry Katz

Norwest Consultants,

Stanmore,

Middlesex

Recommended

Churning fears as FSA reveals multi-ties face losing clients

Multi-tied advisers will have to relinquish their existing clients with products outside their ties to IFAs or become tied to the entire market, says the FSA.The regulator&#39s stance should substantially increase the number of IFAs opting merely to change their title to distributor but remain free to provide advice on the entire market.Such a move […]

Online survey shows IFAs looking to stay independent

Three quarters of IFAs say they expect to remain independent in the event of polarisation rules being abolished, according to an online survey.The survey, by independent online information sharing service theprofessionaladviser.org.uk, shows 74 per cent of IFAs said they still expected to be an IFA by the end of 2002, with 16 per cent saying […]

CML warns borrowers over rises in rates

Mortgage borrowers should take steps to ensure themselves against increases in interest rates and rising unemployment over the coming year, says the Council of Mortgage Lenders.Following a £1.4bn fall in gross mortgage lending last month, the CML says borrowers should ensure they are able to make mortgage repayments if the global slowdown means they lose […]

Investec enters high yield market

Investec Asset Management has introduced the Investec monthly high income fund, its first high yielding corporate bond fund for UK investors.The fund aims to generate monthly income, currently at the rate of 9.75 per cent a year, by investing in a mixture of UK and European corporate bonds. It will hold a high proportion of […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    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

    Email: customerservices@moneymarketing.com