Apathy towards RDR rife among advisers

Apathy towards RDR rife among advisers




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Despite the continued industry debate regarding the Retail Distribution Review and what it means for the provision of financial advice, advisers are unconcerned about how the outcome implications of the report will affect their business, according to recent research from technology partner Assureweb.
 
The statistics reveal that almost one third (32%) of advisers are not concerned about the impact of the RDR on their business over the next 12 months. The research also revealed a degree of uncertainly as one in 10 advisers claimed not to know whether the industry review will have any impact on their business at all. Only 17% of those advisers polled were very concerned about how the outcome of the industry debate will affect their business.
 
Mark Wilson, Head of Propositions at Assureweb, warns of the dangers of not taking RDR seriously. He says: “The considerable apathy amongst advisers towards the industry review demonstrated by our findings is a concern we must address. Ultimately this review represents a huge opportunity for advisers to shape the way they structure their businesses.”
 
The survey, which was conducted among 450 advisers, is the latest wave of Assureweb’s adviser tracking research and identified the biggest concern for advisers over the next 12 months is the increase in ‘red-tape’ in the industry.  A total of 39% cited increased bureaucracy as the biggest concern, followed by reduced commission at 33% and, perhaps somewhat unsurprisingly, the poor performance of the housing and stock market remains a great concern for just 29% of respondents.
 
Wilson adds: “There is understandably a degree of uncertainty around the review as the details are still being thrashed out, particularly around the sales and advice models, however we believe it is critical that advisers understand the full potential impact of the RDR as well as the opportunities ahead to engage more fully with their clients. Assureweb is committed to playing a pivotal role in supporting and working with advisers and product providers through shaping data collection services that reflect the changing products and business models as the industry shifts into this new phase.”

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