From: john boyle 
Newsgroups: uk.finance
Subject: Re: Inedepant Financial Advisors misleading?
Date: Sun, 14 Aug 2005 20:17:21 +0100

In message , Matt 
Robertson  writes

>Hi John,
>
>I work as an adviser (CAS status) for a firm of IFA's, this does not mean
>that I am personally an IFA, I am simply a FA, although I can (and do) give
>advice from the whole of the market.

Good!
>
>The advice does not differ, just my status, I work under the IFA's FSA
>permissions, not my own - I appreciate it's clear as mud!

No that makes sense, see below
>
>As far as any product that contains an element of investment, I must offer a
>fee based option.

That makes you independent for Investment Advice.

>If I am giving solely advice on mortgage and (non
>investment based) protection, there is no requirement to offer fee based
>advice.

There is if you are to be described as an *Independent* Mortgage Broker 
and it would seem that are not.

But it is quite OK for an IFA firm to be independent for its investment 
business and not independent for its Mortgage and GI business, and this 
would seem to be the case for you.

Here is the bit from the FSA manual that you need to read :

"Mortgage & General Insurance

MOGI 2.2.4

What must I do if I want to describe myself as 'independent'?
If you wish to describe yourself as 'independent' you must intend to:
(1) offer a whole of market service; and

(2) give the consumer the option of paying a fee that will be the only 
remuneration you receive for the service (MCOB 4.3.7 R). If the consumer 
exercises this option, you will have to pay them any commission you 
receive on the mortgage sale. "

I hope this link works :

http://fsahandbook.info/FSA/handbook.jsp?doc=/handbook/MOGI/2/2

I now understand what you were trying to say when you said "someone 
advising for an IFA firm isn't an IFA. " I think what you meant to say 
was "someone advising for an IFA firm isn't "always* an IFA."

In your case your IFA firm is not independent when it comes to 
mortgages.

HTH
-- 
John Boyle