We're not financial advisers and cannot give you financial advice, but we work closely with firms we've vetted and who we're confident can give you the investment funds advice you need.

The Financial Services Authority (FSA) recently carried out a review of the Independent Financial Advice (IFA) market, concluding that advice is often biased by commission payments to the advisers for the sale of products, and that there is a lack of professional qualification.

With this in mind, how do you find a good financial adviser? You could start with the following questions:

• Is the firm already fully compliant with the rules of the FSA's RDR, coming into force in 2012?
• Is the firm completely independent?
• Does the firm work on a 'billable time' basis for planning advice, or rely on the sale of products/investments in order to get paid?

Financial planning

True financial planning is often overlooked, with a tendency to focus on investment management. However, this is missing the most important part of the process. Establishing a financial plan is critical for driving any investment funds strategy in terms of establishing the correct risk management - taking the least amount of risk necessary to meet your objectives.

Personal injury/clinical negligence

If you've suffered an accident or injury and received compensation, you'll need investment funds advice so that your monies last as long as possible.   

The focus must be on preserving your capital so the money meets your needs over the long term. Careful financial planning with regular reviews is also crucial for establishing the best investment approach. This is a complex area and specialist financial planners are a must for personal injury trusts.

Trusts

If you act as the trustee of a Trust, you'll need investment advice.  Trustees of Trust funds have a lot of responsibilities and obligations. It is good to have peace of mind where investment management is concerned, and this can be done by paying a fee to an independent financial planner to review existing investments and ensure they're in line with the trustees' objectives. 

If you are the Trustee of an existing trust, you might like to consider a review of the investments, particularly given the forthcoming changes to Income Tax rates.

Charities

Charities' objectives and income needs can change over time. It is crucial that this is reflected in the schedule of investment principles, and any investment adviser is regularly reviewing things to ensure the structure of investments remains in line with the charities' objectives.

Elderly clients

There is often a need for elderly clients or those acting on their behalf - for example under an Powers of Attorney (Enduring or Lasting) - to seek financial advice.

It's important to get proper advice before making any significant change to your lifestyle as some investments may be wrong for you but some may be very valuable, based on your needs. 

There's often a good case to simplify affairs for elderly clients. This may mean reducing investment risk and making more use of cash type investments. Bear in mind that many IFA / investment managers are incentivised to sell investments, and may not adopt this approach. Paying a fee for independent financial planning advice is a good place to start.

Redundancy

If you've been made redundant, you may benefit from taking financial advice.  There are often ways to negotiate severance to your advantage, for example, by way of employer pension contributions rather than a lump sum payment. It's worth taking advice if you're in this position to make sure you've considered all the options. Please visit our employment law advice section which includes information about contracts of employment and compromise agreements.

Sale of business

If you've sold or are considering selling a business it can significantly change the landscape where tax is concerned, especially Inheritance Tax advice on your estate. In our experience, having a cohesive approach with financial planners working alongside your lawyer in advance of the sale is invaluable.

Why use Access Legal from Shoosmiths?

You can trust us to refer you to a financial planner who'll understand your investment funds needs and look after you. We can help you choose the right advisor for your circumstances. We only work with specialist advisors who are highly qualified and experienced so you can be sure you are getting the right advice.

We have years of experience of working with financial advisors and so we know the real value that a carefully selected financial advisor can bring.

Important things to consider

How financial planners charge - some planners charge on a billable time basis and others charge commissions. You need to be sure that the method of charging is right for you and that you are receiving unbiased advice.

Financial planners' and investment advisors' qualifications - make sure the firm you're working with is compliant with the Retail Distribution Review.

Independence - make sure the firm you're working with is truly independent and that you're getting advice on the full range of investment products available in the marketplace.

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