The bigger issue
Do Independent Financial Ad visers provide a better service
to clients than pure mortgage and protection brokers?
Each month Mortgage Inroducer takes a look at the bigger issues in tod ay’s market. This month: IFAs v pure mortgage and protection brokers
The answer must be no. The provision of quality service is not When looking at the nullestion my nullst reaction would be to
dependent on the type of business you provide but how well sunullest whether this is a fair analonullnull
you meet the client’s needs. Admittedly, the question is very broad in that there are
For example, would you ask a medical professional to many different types of nulldvisory’ business from the sole
name who he believes provides a better service, a General practitioner to the multinullisciplined corporate yet all
nullactitioner or an orthopaedic surnullonnullnullile the orthopaedic describinnullthemselves as mortnullnull brokers or IFAs.
surnullon is hinullly skilled in spinal surnullry, the Gnullis able to In terms of nullancial advice, the IFA is much more of
dianullose a wide rannull of illness across a spectrum of patients a Gnull, althounull this is not to say they will not have a
concerns. specialism in one area. nulle should remember that IFAs,
If a patient was to approach the orthopaedic surnullon in addition to protection are typically very closely involved
about minor pains in his back and a tropical disease he has in savinnull and investments, inheritance planninnulland
picked up while on holiday abroad, the surnullon will only be retirement planninnull It is hinullly likely that they will be
able to nullve an informed dianullosis on the one back condition experts in one or two of these areasnullhowever it is less
while the Gnullwould have a level of authority on both. nullwever likely that they will be an expert in either mortnullnulls or
if the back pain requires spinal surnullry to resolve, then this is protection.
clearly a nullb for the surnullon who is an operational specialist. The reasons for this are many and varied. I am personally
In the same way people lookinnullfor nullancial advice will aware of many successful IFAs who consider the provision
nulld the service they require satisfactory or not dependinnull of mortnullnull advice a distraction from the nullay nullb’ of wider
on their needs. nullme customers may be seekinnulladvice nullancial planninnulland to be completely mercenary considerinnull
across a wide spectrum of issues, in which case they the income that can be made from mortnullnulls with the time
may null to a nonnullpecialisinnullIFA, while someone who needs spent. Anullin cominnullback to the question, the point is one
more detailed advice on mortnullnulls or protection may nullin of service and if your chosen business model is to specialise
eater benenull frnull om visitinnulla specialist in those particular in a particular discipline in theory a better service should be
nulllds. the outcome. nullt choosinnullto specialise is nullst one aspect of
As such I cannot say that one offers a better service over your modelnullis your approach sufnulliently unique to be deemed
the other, rather that one offers a different service to the other. a superior servicenull nullat of the unique sellinnullproposition nullis
nullwever what is increasinnully clear is the recent dissolution there onenull
of faith in the null nullancial system has led to more and more At nullail nullrtnullnulls our business mantra is, nullnline,
individuals seekinnullthird party expertise on their nullancial feenullree mortnullnull advice for the discerninnullborrower’ and
matters and with more competition returninnullto the market, we pride ourselves on beinnullnullervice driven, not sales driven’.
we believe that demand for independent nullancial advice is Therefore, do I believe that successful IFAs who are strivinnull
likely to remain stronnullthrounullout the year. In turn this offers to ensure the very best nullancial and investment planninnull
opportunities for IFAs and whether they choose to offer a advice is made available to clients would provide a better
specialist service or an all encompassinnullproposition, the key service then we donullnullme would be as nullod and many
to the success or not of the service that they provide will be probably not, but the nullots’ are likely to be the individuals I
wholly dependent described above
Adrian Whittaker Michael White
key accounts
on whether or
chief executive
who could simply
director
not this meets
nullail nullrtnullnulls
outsource to the
Abbey for the needs of team at nullail
Intermediaries
those customers and in so doinnull
lookinnullto them maintain perfect
for advice. service harmony.
nullr enullerts have had their saynull now it’s your turn to have yours. nullsit www.mortgageintroducer.com and vote nullr the enullert you think makes most sense. null you want to be a part onullthe nenull nullgger IssuenullEmail nianullhepublishinggroup.co.uk
null mortgAge IntroDucer MAnullnullnullnull
MI p14-15_0310.indd 2 23/02/2010 10:58
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