The seemingly eternal debate of ‘fees versus commission' continues to rage, having been recently fuelled by the ABI's latest response to the FSA's retail distribution review.
As a strong advocate of Lifestyle financial planning myself, I believe that the concept of a client servicing culture, and the effective project management of clients from cradle to grave is not exclusive to the fees environment. Surely it can equally co-exist with a commission culture. A few years ago I spent some time with Australian advisers in Sydney, who purport to be exclusively fee charging, but on scratching the surface, you soon discover that they are actually adopting a commission-offset model. Their financial planning proposition is based on an upfront plan fee (which can be ...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes
