“If this gets us closer to being able to take them on instead, obviously it’s a good thing,” he said.
Tim Morris, IFA at Russell & Co Financial Advisers, said: “Streamlining and simplifying Isa advice is much needed. And welcome - if implemented well.
“Most advisers would agree that taking on a new client to invest in an Isa isn't viable from a time/cost perspective.
“Many of my clients will top-up theirs online these days. That works well for me and them in terms of time and cost savings.
“So not having to consider a 'full range of financial instruments' makes sense to me.”
Matthew Connell, director of policy and public affairs at the Personal Finance Society, said the PFS has long argued that there is a significant advice gap and that has to be addressed through more effective regulation
“These proposals – which were trailed by the FCA at the recent PFS Festival of Financial Planning – are a constructive and thoughtful response to our arguments, and we are confident that they do not undermine the progress made by the profession in delivering high quality advice over the last two decades.
“In terms of qualifications, the FCA’s proposals build on current rules, where advisers can give advice under supervision for four years while studying for the qualifications needed to become a retail financial adviser.”
Connell said it envisages that many advisers in the new category will go on to achieve qualifications to become a full retail financial adviser over time.
sonia.rach@ft.com
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