Advisers welcome FSA u-turn on 'independent' definition

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Financial advisers have largely welcomed the FSA's apparent u-turn on linking the term ‘independent' to an adviser's remuneration methods, research by Unbiased.co.uk suggests.

A survey of 250 advisers, commissioned to canvas opinion on proposals in the Retail Distribution Review (RDR), also suggests a quarter of IFAs believe the generic advice model will lead to a decline in the take-up of savings products. Overall, 75% of respondents believe the FSA’s original proposal - to link the ‘independent’ label with fee-based remuneration rather than whole of market advice - would harm consumer understanding of the term in the context of independent financial advice. Advisers also felt the generic advice model would have little effect on the uptake of savings product...

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