90% of IFAs have achieved qualifications: Tenet

Networks, training organisations and national IFAs said the majority of their members were qualified and now getting their businesses in shape for the new regulatory world order in 2013.

Tenet confirmed 94 per cent of its investment advisers intend to continue post-RDR, with the majority either already qualified or close to completion.

This was echoed by Openwork, which confirmed around 90 per cent of its investment and pension advisers intend to get to level four and continue to practise beyond the RDR deadline.

Patrick Connolly, head of communications for AWD Chase de Vere, said that all of its existing advisers are at level four or are working towards it, with the exception of two advisers who will retire during 2012.

The Personal Finance Society’s chief executive Fay Goddard said that 58 per cent of its adviser members had achieved the level four qualification at the end of December last year. She said a further 34 per cent are enroute to achieving the level soon. Only 6 per cent to 8 per cent have not indicated whether they will take the qualification or stop advising post-RDR.

The Institute of Financial Planning also said the majority of its members are qualified at or above level four, with approximately 50 per cent qualified as Certified Financial Planner professionals, which is level six.

Lee Travis, head of the New Model Business Academy, which is the not for profit organisation established by the SimplyBiz Group, said 94 per cent of its members plan on continuing trading post-RDR, with the majority at level four or working towards completing it.

He added: “According to our members, only 4 per cent stated they would be adopting a restricted advice model. The remainder are a combination of remaining independent and undecided.”

The high number of RDR-compliant advisers is a major difference from October 2010 when Robin Stoakley, Schroders’ head of UK intermediary business, predicted 30 per cent of the industry could be forced out of the market due to RDR.

Earlier that year IFA Kim Barrett of Hertfordshire-based Barretts Financial, also voiced fears the numbers would be as high as 80 per cent.

Keith Richards, distribution and development director for Tenet, said although he is pleased at the increased activity among advisers to ensure they achieve the minimum qualification by the 31 December 2012 deadline, the network has issued a further call to action for advisers who have not started their training.

He said: “Unless an adviser is already working through the modules, the realistic deadlines to start one of our CII or Calibrand alternatives is becoming equally as challenging within the time remaining but can still be achieved.

The Institute of Financial Services route is scheduled to take just nine months and still allows sufficient time for a re-sit and the estimated 60 days at the end for the accreditation of the statement of professional standing. In addition, no gap-fill is required.”