A central aspect of the report is a segmentation assessment of the market, to identify four clusters of adviser-type, and how well-placed each are in moving forward with RDR.
The research has aimed to map out immediate and medium-term intentions of advisers in the post-reform landscape. It has gathered the opinion of 1260 survey participants, who were questioned on business challenges, strengths and expectations under RDR demands.
According to CoreData, the primary aim of the research has been to understand the perceived ability or inability of financial advisers to work beyond 2012.
It has also gauged the general backdrop against which advisers in the UK are operating.
Craig Phillips, principal of CoreData Research, said a key development this year was many advisers expected to retain independence despite much speculation about a mass move to restricted advice.
He added: “Once reality cements in 2013 we could see some interesting developments in this regard. Naturally post-RDR, some advisers will find the going tough, partly due to some existing and would-be clients trailing where the market is at in terms of the costing and funding the advice process.”
“We already know that many would-be clients have a low, and in some cases, no tolerance or ability to pay for advice.”
Mr Phillips said the question was where the line in the sand would be drawn and what advisers could offer low paying clients, as transaction was just a small piece of the jigsaw.
“The challenge for the providers is how they can help advisers meet tight purse-string clients halfway,” he said.
“Clients who become advice orphans cannot afford to remain on the side lines for long and will need cost effective solutions to help plan for their futures.”
