The majority of financial advisers want to improve their qualifications in anticipation of the RDR, according to the CII.
About 800 advisers responded to the CII Group and Ernst & Young survey, which revealed more than two-thirds believe a better qualified adviser delivers higher quality advice.
Nearly 80% think it should be mandatory for advisers to be a member of a professional body, while more than 66% have a desire to take up further qualifications, with over 40% aiming to gain the Chartered Financial Planner title.
About half the advisers expect to operate as a Professional Financial Planner, while just over a third expect to operate as a General Financial Adviser.
On customer agreed remuneration, half believe it will serve consumers better, while just under 50% thought the model would become standard over time.
Other findings include:
- 42% say the RDR will lead to a more professional retail financial services market
- 21% think the RDR will improve consumer perception of retail financial services
- 62% will be taking higher level qualifications, rising to 75% of under 45-year-olds
CII policy and public affairs director David Thomson says he is encouraged to see such a strong interest in improving professionalism.
“The majority who have already met the minimum standard are keen on improving their qualifications still further, of which a 41% see themselves striving towards the excellence of the Chartered title,” he says.
“Already half of advisers see themselves going down the professional financial planner route. We see this as a clear indication that financial advisers see greater professionalism as a key objective going forward in this sector."
Ernst and Young insurance head Shaun Crawford says there is a “surprising determination” to develop professional skills, despite mixed feelings about the RDR itself.
"The RDR has thrown out a number of issues which are causing financial advisers to think about their position in the marketplace,” he says.
“As this develops, we will be conducting follow up surveys with the CII to track the temperature on these questions, in addition to continuing to test views on other RDR issues.”
To comment on this story, contact:
0207 034 2681
Our weekly heads-up for advisers
Think tank report
Taking the time to look
After 14-month FAS programme
More than half of people over the age of 55 see financial security as a top priority in retirement, yet a third allocate more time to buying a new car, research from Legal & General (L&G) has found.