Demand for independent financial advice reaches new heights
IFAP’s Advice Drivers quarterly report reveals appetite for independent financial advice is 9% higher this year
312,719 requests for details of local IFAs received in the first half of 2006
Requests for independent retirement planning advice are 40% higher in the second quarter of 2006 compared to 2005
In the first half of 2006, IFA Promotion (IFAP), the organisation promoting the benefits of independent financial advice, handled 312,719 requests for details of local IFAs, a 9% rise on last year and the highest number to date.
IFAP’s report reveals that retirement planning is the driving force behind this increase in demand for independent financial advice, despite the second quarter of the year being the traditional house-buying season. The year-on-year appetite for independent retirement planning advice was 40% higher in the second quarter of 2006 compared to the same time in 2005,
The fourth of IFAP’s reports, compiled from the comprehensive data on the selections people make when requesting a local IFA via IFAP, shows the top ten advice drivers last quarter were as follows:
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Top ten advice drivers: Apr Jun 06* | Requests for IFAs | % of total |
1 | Personal Retirement Planning | 43,767 | 31% |
2 | Mortgages | 31,060 | 22% |
3 | Investment & Savings | 29,648 | 21% |
4 | ISAs/OEICs/Unit Trusts | 11,295 | 8% |
5 | Stakeholder Pensions | 11,294 | 8% |
6 | Taxation Planning | 9882 | 7% |
7 | Personal Protection | 8471 | 6% |
8 | Investment Trusts | 4236 | 3% |
9 | Saving for Children | 4236 | 3% |
10 | Equity Release | 4235 | 3% |
*IFA Promotion figures using consumer searches on www.unbiased.co.uk NB: more than one product area can be selected
David Elms, Chief Executive of IFA Promotion, commented, “Our report reflects the increasing demand for independent financial advice. In the traditional house buying season, this strong emphasis on retirement planning suggests that “A-Day” and the serious messages surrounding it have really made an impact on the public consciousness. People are taking action to secure their own financial futures by seeking help from independent experts.”
Consumers can obtain details of local IFAs who focus on specific product areas by visiting www.unbiased.co.uk or by calling 0800 085 3250. They can also select IFAs with additional qualifications, certain payment options, or state a preference to see a male or female IFA.
For further information please contact:
David Elms Chloe Mann/Holly Godden
Chief Executive Lansons Communications
IFA Promotion 020 7294 3681/3674
020 7833 3131
The full research is available at www.unbiased.co.uk/ifa/resources/research/uk-top-ten-advice-needs
Fig 1 Advice Drivers: Q2 2006 vs Q2 2006
IFA Selection Criteria | Apr-05 | May-05 | Jun-05 | Apr-06 | May-06 | Jun-06 |
Personal Retirement Planning | 23% | 22% | 24% | 31% | 30% | 31% |
Investment & Savings | 23% | 20% | 23% | 22% | 20% | 22% |
Mortgages | 23% | 21% | 23% | 21% | 22% | 23% |
Personal Protection | 9% | 8% | 9% | 6% | 6% | 7% |
ISAs/OEICs/Unit Trusts | 9% | 7% | 8% | 9% | 8% | 8% |
Personal Stakeholder Pensions | 6% | 5% | 6% | 8% | 7% | 8% |
Taxation Planning | 6% | 5% | 7% | 7% | 7% | 7% |
Investment Trusts | 3% | 3% | 3% | 3% | 3% | 3% |
Saving for Children | 3% | 3% | 3% | 3% | 3% | 3% |
Equity Release | 2% | 2% | 3% | 3% | 3% | 4% |
Trade Endowment Policies | 2% | 2% | 2% | 1% | 1% | 1% |
Offshore Investments | 2% | 2% | 2% | 2% | 3% | 2% |
Healthcare/Long Term Care | 2% | 2% | 2% | 2% | 2% | 2% |
General Insurance | 1% | 1% | 2% | 1% | 1% | 1% |
Expatriates Services | 1% | 1% | 1% | 1% | 1% | 1% |
Stockbroking Services | 1% | 1% | 1% | 1% | 1% | 2% |
Ethical Investments | 1% | 1% | 1% | 1% | 1% | 2% |
Group Pensions/Stakeholder | 1% | 1% | 1% | 0% | 0% | 1% |
Commercial Mortgages | 1% | 1% | 1% | 0% | 0% | 0% |
Group Protection/Life Assurance | 1% | 1% | 1% | 0% | 0% | 0% |
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Selection based on Postcode only | 30% | 32% | 31% | 34% | 36% | 35% |
Total number of responses | 40019 | 45221 | 48696 | 46944 | 44225 | 50016 |
For expert comment or case studies from over 200 media-friendly IFAs, journalists should call IFA Promotion’s Media Services hotline on 020 7294 3682 or search online in ‘Media Services’ at www.unbiased.co.uk
1. Independent Financial Adviser Promotion
IFA Promotion was established in 1989 to promote the value and accessibility of independent financial advice to the public. It represents around 9,000 firms of independent financial advisers across the UK and is sponsored by 31 leading financial institutions. In the past 12 months, over 530,000 consumers and businesses used IFA Promotion to find local independent financial advice.
IFA Promotion believes Independent financial advice should be:
Affordable. The option to take independent financial advice should be available, by right, to all - not just the wealthiest in society.
Convenient. IFAs should be available in the location of the consumer’s choice, wherever they live in the UK.
Transparent. It must be clearly transparent to consumers who is able to offer independent financial advice and who is not.
2. Independent Financial Adviser Promotion’s sponsors
Aberdeen Asset Management | Mortgage Express |
Abbey | National Savings & Investments |
AXA Life | NatWest Business Banking |
Bright Grey | New Star Investment Funds |
BUPA Health Services | Norwich Union Life |
Canada Life Ltd | Prudential |
The Children’s Mutual | Scottish Equitable Plc |
Clerical Medical Investment | Scottish Life |
Defaqto | Scottish Life International |
Friends Provident | Scottish Widows Plc |
GE Life | Skandia UK Group |
GMAC Residential Funding | Standard Life Assurance Company |
INVESCO Fund Managers Ltd | Unum Provident |
Legal & General | Webline Limited |
London Mortgage Company | Zurich Intermediary Group |
Lincoln Financial Group |
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