October 10, 2007
Tied 'V' Independent Advisers - Hot Topics Q&A
Q. As a 40 odd year old dentist, I have been unhappy with the bank adviser I have been using for the last few years as they do not have a fee option. Also, I have noticed that friends of mine have received advice on paying off debt as well as Wills etc from their advisers, and this has never been properly done for me. I feel that I need to finally get my act together here.
However, who can you trust when the latest findings of a survey done by Which? show that only 32% of "tied" advisers passed all its tests, and only 48% of "independent" advisers passed?
A. Good question!
When we saw the result of this survey it really depressed us. When figures like this are published it really brings it home to us that the quality of advice out there can be dreadful!
In many respects that is what drives the really good advisers and planners to be better and better. After all, the standards of the test done by Which? were not exactly taxing.
The good news is that there ARE good advisers around!
So, to answer your question as best we can. We would recommend you:
- ask your friends who they use and why
- ensure that the adviser/planner deals with lots of dentists and doctors
- ask how long have been in the job and about their expertise advising dentists and doctors
- ensure they are fee based so that they are totally impartial
- ask what sort of service do they offer. If they just talk about policies then move on, as we would recommend you have a long term personal strategy, not just a collection of policies
- ask if you can speak to some of their clients
- look at their website and get a feel for the company, and see if there are client endorsements on the site for the job they do - ensure they spend time asking you about your goals in life and what you want to achieve
- meet two or three advisers and make a decison based on how they have answered your concerns and worries and how you get on with them
Filed under Investing, Q&A by Ray Prince
