Fee Based Independent Financial Advisors IFAs

Most financial advisors earn their living by taking a commission from the life insurance or investment companies whose products they sell. This commission must be disclosed to the client. The system has it can be argued worked reasonably well.independent financial advisors or a tied agent will be coloured by his or her need to earn commission. It is clear this has happened in the past with the result that vulnerable investors have been badly disadvantaged.

Some independent financial advisors offer their services on a fee based basis in much they same way as do accountants and solicitors. They charge the client by the hour or agree a one off fee upfront. Any commission earned is then rebated. This can make a lot of sense in view of the fact there are financial products which would suit you which dont pay your advisor to recommend them.

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2009-03-06 12:18:36 © Moneyextra.com