financial advice by Tracey FosterBy Tracey Foster, Independent Financial Adviser based in Birmingham.

In February 2012, the Financial Services Authority (FSA), released a guidance consultation “Independent and restricted advice”. It described the new advice types that were later implemented through the Retail Distribution Review. Over the last few years, we have seen business models evolve using these different advice definitions.


So what do these definitions actually mean for clients?

Truly independent financial advice is offered by advisers not affiliated to any particular company or financial group. It means that the advice provided is based on the whole of the market and the Financial Conduct Authority (FCA) require independent financial advisers to consider all options when advising on the best solution for clients.

Restricted advisers will not operate in the same way. Their offering will be in some way restricted, whether this is limited to the choice of providers or the type of financial products they consider as solutions for their clients.

There are some firms that operate on an independent and a restricted basis. Therefore, for one part of the advice clients receive, this may be on a restricted basis and for another part of the advice, this may be on an independent basis.

This can become very confusing in an area which can already be complex in its own right. Giving sound financial planning advice takes time and understanding of clients’ individual circumstances.

Why we offer independent financial advice.

Anstee & Co. operate on a truly independent basis. We do not believe one size fits all. We treat our clients as individuals. When clients come to us – we will not be looking to recommend the same solution to each client, we ensure that our clients receive the advice that suits their needs and their own individual situation. For example, there are many Discretionary Fund Managers (DFM) on the market -they all manage money on clients’ behalf. However, they will all have a different approach, style, performance record and charging structure. It is our job as financial advisers to ensure that the right fund manager is recommended.

To achieve this, we work with fellow professionals such as accountants, legal advisers and investment groups through a series of professional partnerships to execute the agreed strategy with each client. These informal partnerships enable us to concentrate our resources on strategic financial planning – for example on pension’s advice, estate planning, protecting businesses and families and providing an overview of the suitability of investments.

So, Independent or restricted – who cares? We do!

Why not arrange a meeting with Tracey to see how she can help you.

If you would like to arrange a meeting with Tracey about independent financial advice then please phone her at our Birmingham Office on 0121 399 0940 or click here to request a callback.

Other articles by Tracey Foster, Independent Financial Adviser.

When is Venture Capital not Venture Capital?

Pension regulation changes and how they affect you?