There’s been much discussion about ‘orphaned clients’ in the post-RDR world – but at True Potential we think the industry also needs to take into account those advisers who are now orphans themselves.
With increasing numbers of advisers being cut adrift by High Street Banks – HSBC recently joined Santander in announcing major cuts to services and departments – we believe the loss of many thousands of years’ experience is one of the biggest threats facing the industry.
Ernst & Young also predicts adviser numbers will drop from over 30,000 to just 20,000 in 2013. Because of this, we believe that the industry needs to raise its game and offer more support to advisers.
We are leading by example by ensuring more of our staff are in a position to give expert support to advisers. 39 of our team have started studying to gain a CISI Investment Diploma Level 4, bringing them each in line with the new RDR minimum standard for advisers.
They are expected to complete their courses by early 2014 as part of our ongoing commitment to provide sector-leading support to advisers, particularly to those who have recently been cut adrift. The staff, from all three True Potential businesses (True Potential Wealth Management, True Potential Adviser Services and True Potential Investments), are currently working at a variety of levels within our business, from those with several years’ experience to recent recruits.
It is a challenging time for advisers. While the introduction of an industry-standard qualification level is only the tip of the iceberg in terms of the changes that have taken place, it will lead to an increased level of professionalism throughout the industry and should raise standards – and expectations – across the board.
True Potential has captured 22% of the IFA market based on a peerless understanding of the way advisers work, and of the needs, in turn, of their own clients, which is why we have won ‘Best Support Service’ at the Money Marketing Financial Services Awards for two years running.
The Investment Advice Diploma (IAD) has been developed by the Chartered Institute of Securities and Investment to provide employees advising and/or dealing in Securities or Derivatives, advising on Packaged Products and/or Managing Investments with the knowledge and skills required for their job roles.