IFA Comment: Low AMCs are not the answer

Yesterday’s IFAonline article reavealed while answering questions at a pensions conference at the Work Foundation, Hutton said the NPSS proposes to cut costs by removing “expensive, highly tailored, independent financial advice”, and suggested advice was the reason why stakeholder charges had not gone below 1%. But John Nalepa, an IFA, says lowering the cost of charges is not necessarily going to attract more clients. “It is interesting to note the 1% regime was supposed to attract new clients, as is the proposed 0.3% charge levels. Plainly the Minister seems unaware that providers coul...