IFA Perspectives: Andrew Jackson at Mosaac Ltd



IFA Direct Home: Can you tell us a bit about your background?

Andrew Jackson: I have been an Independent Financial adviser for over 11 years and previously worked within the financial sector as a financial adviser/sales manager and district manager for the cooperative insurance

IFA Direct Home: Who should be seeking advice?

Andrew Jackson: With changes to state pension and also the introduction of workplace pensions, it is important that all clients who are planning for retirement or imminent retirement look to review their position to ensure retirement objectives are on track and are invested to suit their attitude to investment risk and capacity to investment loss

IFA Direct Home: Why should they seek advice over making a decision themselves?

Andrew Jackson: It’s important that clients seek advice to ensure that any decisions made are based on the full market place and is specific to the Clients Objectives/Need and Risk Analysis

IFA Direct Home: What financial pitfalls might people come across?

Andrew Jackson: The pitfalls clients could come across is investing in a fund which is outside their risk tolerance and is based on performance rather than suitability also investing in high cost SIPPs and also investing through Schemes that could potentially have severe tax implications( pension Liberation)

IFA Direct Home: Can you explain the process of receiving financial advice?

Andrew Jackson:

Initial Meeting

Obtain information

Client Specific Needs and Objectives in all areas (looking at Pensions, Savings, Protection and taxation)

Completion of Client Fact Find

Completion of Risk profile

Agreement between adviser and client regarding priorities and what is important to the client at this time

Completion of Authority form, this will allow the adviser to obtain information on the current product to see if Features/Fund Choice/Cost suit the client’s objectives.

Agree any fees moving forward

2nd Meeting

  • Check if the client’s objectives have changed
  • Present Information on current contracts and compare against clients objectives and risk and tax
  • Based on the client’s Objectives and Needs and taxation, present any alternative solution which is better suited to needs and objectives and taxation

This could be done 2nd/3rd meeting

  • Make Recommendation
  • Agree Solution and any fees to be paid
  • Agree what service the client would like to receive moving forward
  • Send letter of recommendation

IFA Direct Home: Do you find that a client’s initial objective changes following their first meeting with you?

Andrew Jackson: Depending on the client’s understanding of financial planning, objectives often change during meetings as the adviser identifies areas which could impact on the client’s needs and wider planning areas such as family protection and taxation planning etc

IFA Direct Home: How much does advice cost?

Andrew Jackson:  Advice cost depends on values and workload involved, this is agreed between adviser and client

IFA Direct Home: Isn’t it a catch-22 situation to be spending money to find out how to save money?

Andrew Jackson: The difference in the cost of products varies significantly and depending on the client’s own needs, the cost of reducing expensive products fees could significantly increase values over time. This together with ensuring that risk is appropriate. Investment loss could cause significant financial implication over the long term and ensuring fund suitability/risk is just as important.

IFA Direct Home: How often do you review the financial situation with your clients?

Andrew Jackson: Service is agreed with the client and this depends upon what the client wants/ complexity and is seen as beneficial for long term partnership between adviser and client and is proactive rather than reactive

Four levels of service

Responsive – no Service

Proactive Plus – 1 appointment a year

Proactive – Appointment every 2 years

Bespoke – Appointments every 6 months or more subject to needs

Costs are different for each service agreement and the levels of service can be altered to suit changes in client’s needs etc

Ryan Mellor
Ryan Mellor is Co-founder of RMT Group, IFA Direct Home, RMT Direct Leads and RegulatedAdvice.co.uk.

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