Advisers will find it difficult to develop much-needed cheaper advice models until the Financial Conduct Authority (FCA) lowers its costs, the Association of Professional Financial Advisers (APFA) has said.
The trade body has published research echoing its findings from last year: some advisers are turning away clients because they feel their requirements do "not justify the cost" of their service. Some 37% of advisers who had turned away a client did so for this reason, according to an APFA survey of more than 230 advisers carried out in January. APFA said the findings show the industry needs to develop "viable but lower cost" advice options, but that the FCA must first lower its costs on advisers, such as by overhauling its allocation of fees and further simplifying firms' reporting du...
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