Why use a retirement adviser?

A retirement adviser should make you better off in retirement. There are over ten different types of annuity, plus a range of other options that you may not have heard about.

Choosing a retirement adviser

Choosing which adviser firm is right for your circumstances can be one of the key decisions you make.  Here are some tips and hints when making your selection:

National, or Local? 

Some firms offer services across the country, through a national team of advisers, or over the telephone or web, others only offer a service local to their own base.

Our search engine provides you with firms local to you.  These may include a National firm if they have premises near you.   This is not to say that local is best.  What is important is the service the firm offers you, so do ask!

Range of Services

A good adviser should be able to explain the service they provide, and the value that you will receive in return.  Some firms will often offer only a restricted annuity service - This may be noticeable from their name!

You should consider all your options and ensure that you are happy with your adviser's explanations.  If you are unclear at all - always ask more questions.

If you have a pension fund of less than £100,000 be aware that many advisers will only consider annuity options.

Review services are very important especially if you move into an investment linked solution.  Your adviser should make the review requirements very clear to you.

Fees & Commissions

Professional advice costs money, so somehow the adviser will need to be paid.  Typically this is through a commission of between 1% and 4% of your fund.  

If you have an investment linked solution the commission would normally be at the higher end of this range. 

Investment linked solutions also need reviewing so many advisers will take a 'fund based commission' to cover the cost of these services. 

A good adviser will be able to explain their costs, and charges.  You should be able to pay by writing out a cheque if you really want to, but most people pay through the commission structure. The simple rule is - just know how much is being paid.

Range of Qualifications

The financial services industry is improving its position on qualifications.  All advisers have to be qualified to a basic level.  Advisers who are making recommendations in the retirement market have typically taken additional specialist examinations. 

We currently expect all advisers to be qualified to diploma level by 2013, and many have gone beyond to 'Chartered' level already. 

Although exams are always important; experience in the retirement market will have just as big an impact on the range of options considered. 

Always ask the adviser what qualifications and experience they have in this market.

Help

If you would like more help - contact us.