Financial advice is not a priority for British savers, says Fidelity Go compare with our comparison table

Financial advice is not a priority for British savers, says Fidelity

04 May 2010 / by Lois Avery

Three quarters of savers and investors in the UK would rather make a financial decision alone than pay for advice, according to a survey from Fidelity International.

The survey, run by TNS Sofres asked 9,000 savers in 11 countries how they make their financial decisions and showed that 72 per cent of the UK’s savers and investors claim to make decisions on their own.

However, It also showed that British investors are more willing to pay fees for financial advice than Belgians but less willing than investors in Germany. And according to the results more than half of British savers and investors (64 per cent) were most influenced by family and friends, industry professionals, or the media when they last bought a financial product.

The number who went to see a professional was just 40 per cent and the number basing their decision on a product provider website was greater than in any other country at 15 per cent.

Tom Stevenson, Investment Director at Fidelity International, said “What is clear is that savers want to access to different types of help, ranging from full independent advice to simple guidance for more-self directed investors.

“The web is increasing in its significance as more people look for information online and this demand for web-based information is only set grow.”

In terms of age groups seeking advice with their investments those over 35 were shown as almost twice as likely to visit an independent financial adviser as their younger counterparts.

The survey also looked at adviser fees and found only 46 per cent would be willing to pay fees based on an advisers' time.

Tom Stevenson said: “The industry as a whole needs to convince savers of the value of advice, that it is worth paying for and that there are a number of options available to them. Many of those people who are put off by an upfront fee may not realise there are alternatives, such as agreeing an ongoing fee with their adviser.

"For those that choose not to access independent financial advice, we need to ensure they are able to access information that is simple, transparent and offers a manageable level of choice."

Fidelity International has also identified ten areas that consumers would like extra help with from their financial service providers, which includes, proving the value of advice before they pay for it, cut down on the amount of jargon used and give the investor more control.

Tom Stevenson added: “Savings in the UK are at an all-time low, partly as a consequence of a lack of confidence and trust among investors in financial services. More needs to be done to ensure consumers' interests are at the forefront of future regulatory policy, that there is fairer and more open access to products and advice and that a culture of long-term savings is encouraged and facilitated.

“We hope this survey will encourage constructive and positive debate and stimulate an improvement in customer confidence through simpler and more transparent products and advice and better choice and value.”

For savings and investments deals click here »


© Fair Investment Company Ltd

 Product NameISA OptionIncome YieldMore Info
Income Maximiseryes
See Details
More Info >
Seeks to achieve a target yield of 7% to generate a quarterly income, whilst offering the potential for some long-term capital growth. Save 100% on Initial Charges.
Monthly Income Plus Fundyes
See Details
More Info >
Popular monthly income fund that aims to achieve a high level of income whilst seeking to maximise total return through investing in high yielding corporate and Government bonds, together with UK equities. 100% discount on initial charges.
Click here to view latest Fund Facts »
Strategic Bondyes
See Details
More Info >
Investing in higher yielding assets which will include most types of fixed interest securities, this fund aims to deliver a quarterly income to investors. Save up to 97% on Initial Charges.
Invesco Perpetual Corporate Bond Fundyes
See Details
More Info >
This highly popular investment fund aims to achieve a high level of overall return with relative security to capital. Income Paid to you twice yearly. Up to a 100% Discount off the Standard Initial Fund Charge.
Click here to view latest Fund Facts »
Artemis Income Fundyes
See Details
More Info >
One of the leading UK Equity Income Funds. The Fund managers hunt out companies with strong free cash flow and solid balance sheets. Income is paid to you twice yearly. 100% Discount off the Standard Initial Fund Charge.
Click here to view latest Fund Facts »
Invesco Perpetual High Income Fundyes
See Details
More Info >
One of the UK's most popular income funds, the Invesco Perpetual High Income has delivered consistently good long term returns through a variety of market conditions. Income is paid to you twice yearly. Up to a 100% Discount off the Standard Initial Fund Charge.
Click here to view latest Fund Facts »
M&G Corporate Bond Fundyes
See Details
More Info >
The M&G Corporate Bond Fund is a conservative ‘blue chip’ sterling fund that aims to produce a higher return than UK government bonds. Income is Paid to you Quarterly. 100% Discount off the Standard Initial Fund Charge.
Jupiter Merlin Income Portfolioyes
See Details
More Info >
The Jupiter Merlin Income Portfolio fund aims to achieve a high and rising income with some potential for capital growth. Income Distributions are made to you quarterly. 95% Discount off the Standard Initial Charge.
Click here to view latest Fund Facts »
The value of investments and any return from them can fall as well as rise and you may not get back the full amount invested. Please ensure that you read the Important Risk Information below.