Independent financial advisor UK. Independent Financial Advisers or IFAs are professionals who offer their independent advice on financial matters to the clients and recommend proper financial products available at the market. Read more here at wikipedia.
Financial Advisor – occupation (according to the EU directive on financial intermediation) performed by independent, not related to any specific financial institution professionals whose role is to primarily provide customer substantive knowledge about the protection of his property.
Who is an independent financial advisor?
A professional financial advisor – both dependent on and connected with financial institutions, and independent – contacts with the client and defines intelligence complex customer needs and expectations regarding accumulated capital investment, protecting options of himself and his family, expectations of future retirement needs of insurance (property, health, life) the acquisition of goods, etc. On the basis of intelligence are defined client’s financial goals. Then the independent financial advisor shall make a written financial plan, which proposes a client, with what tools and how he can achieve the desired effect. The plan shall be signed by both parties and from that moment advisor monitors the implementation of the financial plan according to assumptions. Customer purchases financial products from specialists, such as investment advisers, credit counselors, insurance advisors, etc.
In recent times the topic of independence of financial advisors is often raised. The very use of the term independent is controversial. In our opinion, an independent advisor uses bids, from at least twenty banks, shall offer the customer a choice of at least five or six selected banks that meet customer expectations, securing their needs, and most importantly, it is the customer who decides where he wants to submit an application. Choosing the right financial product, whether it is the realization of the investment, or the purchase of your dream flat, it must be thought out carefully.
Summing up – who is an independent financial advisor actually? It’s the person that protects your assets through suitable advices on financial matters.