Why independent advice

Independent versus restricted

Under FCA rules an adviser must tell you whether their advice is independent or restricted.

Restricted means the adviser can only recommend certain products, or products from certain providers. An adviser at a high-street bank may be limited to that bank's own range; others are tied to a single insurance or investment company.

Independent means the adviser considers a comprehensive range of products from across the whole market, and is not tied to any provider.

We are independent. We have no products of our own to sell.

Why it matters in practice

A restricted adviser may well give perfectly good advice within their range. The difficulty is that you cannot easily tell whether the recommendation was the best available or simply the best available to them — and you have no way of knowing what was outside the range.

Being independent also means we are free to tell you to do nothing. If your existing arrangements are already suitable, that is what we will say. An adviser who only earns by moving your money has a harder time giving that answer.

How to check any adviser

Every firm giving regulated advice in the UK must appear on the FCA register. You can look up a firm's number, confirm what it is permitted to do and see who runs it. Our FCA reference number is 429592, and it appears at the bottom of every page on this site.

What you should expect

• A clear statement of whether the advice is independent or restricted
• Charges explained in writing before any work starts
• Recommendations you can understand, with the reasoning set out
• A free initial conversation with no obligation to proceed

Questions worth asking any adviser

Whoever you end up speaking to, these four questions will tell you most of what you need to know before committing to anything:

• Are you independent or restricted? They are required to tell you, and the answer determines what they are able to recommend.
• How are you paid? Whether by fee, by commission on certain products, or a percentage of what you invest — and whether that changes depending on what they recommend.
• What happens after the initial advice? Whether reviews are included, how often, and what they cost.
• Who will I actually deal with? In larger firms the person advising you is often not the person you first met.

What independence does not mean

It does not mean cheaper, and it does not guarantee better outcomes. A restricted adviser with a strong process may serve you well; an independent one may not. What it does mean is that the range considered was the whole market rather than a subset, and that no commercial tie influenced which product was put in front of you.

Common questions

This page is general information about regulated financial advice and is not personal advice.