The price of advice
Article Abstract:
Financial planning should be started early, and regular saving is needed to accumulate a large lump sum. Contribution levels are much higher for investors who delay saving for retirement. Investors can obtain advice from salespeople, or tied agents, who can only recommend a limited range of products, or from independent agents (IFAs). IFAs may earn commission on products sold, or they may charge a fee, which means that clients do notpay commission. Fee-based advisers may offer better long-term performance since commission can affect returns.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1998
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Watch out, independent advisers about
Article Abstract:
United Kingdom independent financial advisers (IFAs) hold a 57% stake in the UK market for insurance and investment. Most IFAs use commisions rather than fees in order to make a living, and there is concern that their advice may be affected by commissions. There are doubts about lists of approved suppliers sent to members of IFA networks, and concerns as to whether the lists are impartial. Tied advice may be poorer than advice from IFAs taking a commission, and not all consumers are prepared to pay fees.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1998
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Investing for income
Article Abstract:
Many United Kingdom investors have seen their investments increase in value and they may wish to take an income from the funds that they have built up. A large portfolio can allow for a reasonable income without capital growth being unduly affected. The choice of investment manager is important and there should be continuity, as well as flexibility for the investor. Model portfolios may be offered by investment houses but they should not constrain clients unduly.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1998
User Contributions:
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