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November 21, 2024
PI Global Investments
Finance

Justify your ‘ongoing advice’ fees, FCA tells financial advisers


Britain’s 20 largest financial advice firms have been ordered to give details of what services they provide for charging customers “ongoing advice” fees.

Financial advisers will typically charge a one-off initial fee to assess your circumstances and provide recommendations such as what you should invest in and how you can reduce your tax liabilities. This may cost 3-5 per cent of the value of your investment or pension.

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However, they may also offer ongoing advice for which, theoretically, they will monitor your investments and make adjustments accordingly with your permission. This typically costs about 0.5 per cent of your portfolio each year. Some firms may automatically opt you into receiving ongoing advice, but most require



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