View more on these topics

Trees and IFAs take same root

Consumers using decision trees and IFAs using their knowledge reach exactly the same conclusion over the best stakeholder for them, according to an FSA pilot test.

Speaking Money Marketing&#39s stakeholder conference, FSA policy offier Keith Matthews unveiled findings from FSA market research which compared a panel of 40 consumers drawn from different social backgrounds with a panel of industry experts.

According to Matthews, when the consumer recommendations were compared with the panel of IFAs and product providers “the vast majority arrived at the same conclusion as the panel”.

And intermediaries fear the results leave a question mark over the role of the IFA when stakeholder is launched next year.

The research was designed to see if draft decision trees meet the requirements of consumers deciding if a stakeholder is the right choice and both panels were asked to work through draft trees and information packs.

Torquil Clark pensions development manager Thomas McPhail says: “These results cuts to the heart of what we&#39re selling. The findings are certainly indicative of Government and DSS thinking to educate and empower the population at large. Advisers will be forced to concentrate on high net worth individuals.”

Adviser Gee & Company managing director Philippa Gee says: “If you are an IFA who provides simple quotes or simple pensions advice you need to look at your business and assess where you will be going in the future.

“There will always be a need for IFAs, but it will be for people with either more complex needs or those needing financial nannying.”

But FSA spokesperson Jackie Blyth says: “There will still be plenty of room for IFA to help those people who don&#39t know what they need, and for the firms that need to set up the schemes.”


Quarter of a million hit by PMI tax relief axe

A quarter of million people are missing out on health insurance because of the decision to axe PMI tax relief for the elderly, according to PPP healthcare calculations.Chancellor Gordon Brown removed the relief from the over 60s in his first budget in 1997 reversing the Conservative policy. PPP healthcare managing director Mark Adams now wants […]

LSE to end 200 years of mutuality

The London Stock Exchange is a step closer to ending nearly 200 years of mutuality.LSE has called a meeting for March 15 when shareholders with voting rights will be asked to approve demutualisation proposals.The plans need to win 75 per cent of the vote to allow dealing in LSE shares to start in May.City estimates […]

IFA investment e-trading boost

Giant IT consultant Cap Gemini is launching an electronic trading gateway to enable IFAs to trade unit trusts and Oeics free of charge.It believes Autif&#39s EMX electronic trading platform, which charges a fee for each transaction, will be used mostly by stockbrokers and institutional investors not by many IFAs. Cap Gemini insists it is not […]

Pension with-profit woes

Thousands of employers may be forced to abandon existing group personal pensions in favour of stakeholder if the Government excludes with-profit funds from its proposals.The life industry fears predictions of a GPP bonanza will prove unfounded as they are caught out by the fact the Government regards market value adjusters as an “exit penalty”.The Government&#39s […]

Retirement - thumbnail

Pension freedoms: stop the scams

At the beginning of 2015, we highlighted that the new pension freedoms that come fully online on 6 April also represent a very attractive opportunity for the criminal fraternity to scam savers out of some, or all, of their accumulated retirement savings.


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 thought leadership.

    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