Eight out of ten advisers could move to a restricted advice model after the retail distribution review (RDR), recent findings suggest.
A survey conducted by NMG in Q4, polling 352 advisers, suggested about 60% will switch to a restricted model - with the potential for this to increase to 80% in the long term.
The findings come as more advisers are expected to opt for restricted advice structures post-RDR as they look to streamline their propositions and introduce cost savings.
Last month, Axa Wealth announced it is to roll out a restricted advice pricing and service package in Q2. Sesame Bankhall is also launching a restricted advice model this year.
But despite the expected swing towards the restricted arena, NMG research suggested advisers have yet to clarify what their models will look like.
According to the NMG survey, just 45% of advisers have documented their proposition and only 46% have costed their service.
Axa Wealth has voiced concern advisers thinking of adopting a restricted model face a race against time. The company said many of the advisers it has spoken to are still unsure as to what type of advice they will offer after RDR implementation.
"We don't think enough is being said to IFAs about making a decision," said Axa managing director, marketing and distribution, David Thompson (pictured). "Advisers are now in the last chance saloon."
Pointing to estimates that anything between 20% to 80% of the adviser population will shift to a restricted offering, Axa Wealth said there remain "huge unknowns" over how many advisers will opt for a restricted model.
It added many advisers are concerned the independent model has a higher cost base than a restricted offering.
Thompson predicted by 2014/15, 50% of advisers will offer a restricted model.
Further muddying the water, network and support service provider Sesame Bankhall Group recently said a large number of its member firms are considering offering both independent and restricted advice in what it termed a 'hybrid' practice.
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