Money Marketing spoke to advisers at the annual PIMS conference last week to get their thoughts on the RDR, the future of advice, the recession and the troubles in the eurozone. Here is a snapshot of their views
’An awful lot of people will now have no access to advice’
”The regulator should be taking time to understand what advisers are offering and what the job entails. The FSA could achieve this if it actually spoke to the guys at the coalface.
“The current set of RDR proposals has been produced on the back of the regulator talking to chief executives of large firms and not individual IFAs who would probably give the regulator a fresh perspective on things.
“I think the adviser community will shrink by 20 per cent following the implementation of the RDR and then two years after that, 50 per cent of the guys left are going to be restricted.
“An unintended consequence is that an awful lot of people will now have no access to advice and they are the ones who need it most. That is a problem needs to be addressed.”
Joe Hill, director, Independent Life & Pensions Group
’I would like to see the regulator talking to the industry rather than just releasing huge documents as part of its guidance’
”I expected to see some more regulatory feedback from the FSA about how the RDR implementation is going. I would like to see the regulator talking to the industry and being a bit more open about how it operates rather than just releasing huge documents as part of its guidance. Surely it would be more helpful for the regulator to give a bit more actual verbal guidance to firms about implementing different parts of the RDR.
“I would like to see a way for advisers to be able to service low-end clients in future. With banks pulling out of that area and advisers looking to service clients who will pay fees, it is hard to see this happening.”
Adam Pollard, director, Sound Financial
’The changes from January 1 are natural developments to secure appropriate consumer outcomes’
“After being an adviser since 1990, I have experienced considerable change in regulatory requirements. In my view, the changes we face from January 1 are natural developments focused on business risk to secure appropriate consumer outcomes.
“I think advisers should be looking to D2C propositions to complement their advisory businesses. Unfortunately, I think some big providers will be trying to stop IFAs from doing this because they see it as their market.”
Richard Harry, director, HHPG
Lack of liquidity means no oil for the economic cogs’
”Europe and the debt crisis are dominating the news and impacting on the fortunes of citizens and businesses alike. There is not enough money to go around and the impact on business and individuals is clear to see. Accusations of cosy relationships between politicians and big corporations, with mutual off-the-record benefits, add to dismay and anxiety.
“This produces arguably the worst situation – uncertainty – which in turn leads to stagnation. Interest rates are set to remain low but the availability of credit is equally reduced. Lack of liquidity means there is no oil for the economic cogs.
“IFAs are in the middle, with increasing demand and the RDR looming. There has never been a more crucial time for clarity, direction and leadership from our regulator. Seven months to go and some aspects of the RDR are still not clear. The consolation with the 80p euro means cheaper holiday drinks to drown the sorrows.”
Paul Fletcher, IFA, Sorensen Financial Services
RSM Tenon director and head of wealth management John Porteous
#PIMS2012 in 140 characters – passive investment, structured platforms, rethink income generation and everyone has gone multi-asset…phew..
Institute of Financial Planning chief executive Nick Cann
Very surprised to be the only professional or trade body on #PIMS2012 given the amount of support advisers are looking for at the moment
@Nickcanncfp Unfortunately the PFS is too busy on the road, delivering practical support to many of its 32,000 members, to make #PIMS2012
Spectrum Independent Financial Services IFA Wayne Slater
@MMSamMacdonald E&Y: Adviser no’s reduce by 1/3 means advs can up fees due to greater demand for advice #PIMS2012” > RDR working eh!
Honister Partners chartered financial planner Andrew Elson
Excellent meetings so far on #PIMS2012. Also good to catch up with friends old and new.