Threesixty has rejected suggestions by SimplyBiz chairman Ken Davy that few advisers will consider the restricted advice route after implementation of the retail distribution review.
SimplyBiz polled 500 of its member IFAs and found that less than 4 per cent of SimplyBiz and Compliance First advisers will consider offering restricted advice after RDR.
Davy says: “Multi-ties were a failure in 2002 and under their new name of restricted advice, I believe they are even less likely to prosper in 2013.
“Invariably, the end result is that manufacturers and distributors work together to create products that deliver less choice to the consumer at a higher cost. It is a road to nowhere for IFAs and their clients.”
But threesixty partner David Ingram says: “The restricted advice route is a valid model for IFAs. The multi-tied model is a completely different beast. Res-tricted will suit advisers who pretty much want to stay as they are.
There will, of course, be IFAs who prefer to be independent but to suggest that so few advisers will go restricted is poor.”