Adviser > Investment for Advisers > Does your portfolio advice service meet FSA expectations?
Does your portfolio advice service meet FSA expectations?
As more adviser firms change to advice models aligned to the RDR there has been an increase in the number of firms offering portfolio advice services. This typically involves recommending a range of investments to meet an asset allocation that is reviewed regularly.
Challenges for your business
The FSA's April 2010 update to its pension switching review warns that the additional costs of portfolio advice services may not be suitable for all clients and that they expect you to consider the total costs before recommending them. This means product charges, adviser charges (both initial and ongoing) and any platform charges.
One solution might be to offer a simpler transactional only service. But post RDR the quality of your offering will become increasingly important as you compete with other firms for clients. So by recommending an advice service based on risk profiling, asset allocation and regular reviews, you can deliver a better service that offers genuine value for your clients.
The challenge is how you provide this service at a cost that's both suitable for your clients and profitable for your business.
How we can help
You can use our Governed Portfolios to match risk attitudes to asset allocations. The portfolios benefit from regular reviews, automatic updates and can be invested in individually or used to build lifestyle strategies.
What are the benefits
- Helps you to comply with FSA requirements as highlighted in the recent pension switching update
- Delivers a better service to low touch clients
- Saves you time and money
It means you can offer your clients all the benefits of a portfolio advice service but at no extra cost.
Find out more
To request more information on our Governed Portfolios from your Scottish Life consultant, please complete the form below.
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