Investments taken out by an IFA for a client

[bitchstewie]

If investments have been setup for someone by an IFA but all correspondence is in the name of the client and all correspondence goes directly to the client, would you expect that if the client contacted the platform(s) directly they would be able to take instructions from them, or would you expect they would need the IFA to make the request?

[bitchstewie]

Thanks

I'm just trying to understand the usual process when an IFA's services are no longer needed but the platforms they're using do deal directly with the public too and all the correspondence goes directly to the client from the platform and is in the clients name but does mention the IFA as first "point of contact" if the client has any queries.

[bitchstewie]

Thank you

All that's needed is to be in a situation where the platform will take instructions directly from the client.

If you part ways with an IFA is that usually where you end up?

[bitchstewie]

Fidelity/Funds Network.

I've used them myself in the past but that was direct so I'm not sure what the difference is when things have been done through an IFA.

They send statements directly but historically any money going in or out has been via the IFA.

[bitchstewie]

JulianPH said:

You are 100% fine with them!

Yes it was more how the process usually works.

My assumption and hope was that after the "bye IFA" email/letter we can just deal with Fidelity directly and do whatever a direct client can do which I'm fine with.

@dxg how do you end up paying someone to manage your money who refuses to reply to your emails?

[bitchstewie]

dxg said:

And a related question:

How do you find a decent IFA?

Devil's advocate and perhaps controversial but why do you believe you need one?

You absolutely may, I don't fall into the "IFA's are bad" camp, but it seems the obvious question

[bitchstewie]

dxg said:

Put simply, I want do something that returns above inflation. I have a fair understanding of my own risk appetite, but I could - at best - be described as financially illiterate. Need advice on what the options are... Also have to prepare for my own future.

I would imagine I'm a simple client...

I'd try and separate out planning from advice and when speaking to IFAs there are different meanings of the word "advice".

If you have £20K in cash that you don't expect to need and you know your own risk levels it could be as simple as go to somewhere like Vanguard and open an ISA and drop the money in a LifeStrategy fund that's on your level of risk - job done.

So for example as a layman I would see planning as someone explaining how it makes sense to use your ISA allowance before putting money into taxable accounts (usually) whilst "advice" might be a nice man or woman sitting in your house and suggesting you put your money into a particular named fund.

If you have multiple homes and kids and pensions and a general tangle of finances where you don't even know where to start then you might need some help with planning.

I think where it falls apart personally is that if you need some initial help with planning and understanding options the model of many IFAs is that you're expected to hand them 1% of every penny you have invested forever whilst they "manage" it for you.

As I said above I'm not saying they're all bad and I'm not saying nobody needs them.

Simply that it depends on your situation and also how much time you want to put in to understand things as in if you spent a few hours understanding the basics that could save you thousands in fees over the years.