St James Place or IFA?

[MoneyQuestion2014]

We are looking to see a financial advisor who can help us with financial planning and investment advice. We have seen three advisors and discounted one IFA as he was clearly not great.

Another is a St James Place advisor. He seemed great and lovely bloke (acquaintance of my husband's). He and came to our house for an initial chat and is providing us with lots of information while we make our decision. But SJP is not independent. They also said that they do things like money coaching which is attractive to me.

The last is a firm of independent advisors who seem great too. Totally independent and we would start out on a more formal footing because no past relationship. Less 'frills' though.

So. Any thoughts?

Who do you feel you can build a better, more open and trusting relationship with? Good financial planning is about listening to your hopes/dreams/aspirations and then helping you to take practical steps towards achieving those as far as possible. The more open that you can be with your adviser, the better able they are to find tailored solutions that are right for you. This applies whether they are tied (like SJP) or independent. The SJP adviser will always have an option to refer you to an independent if he finds that he hasn't got exactly the right product to meet your needs.

The other consideration may be fees/charges. SJP are expensive (lots of glossy brochures, etc.) but that's not to say that it isn't good value for money if you are able to establish a brilliant relationship and achieve what's right for you. Ask the IFA if he can offer you some money coaching as part of his ongoing service to you.

Personally I would find a good IFA (preferably from a recommendation so ask your friends/relatives who they use). Having worked in the Financial Services Industry for many many years (in a support role) I have worked for tied companies and independent advisers. We have our own IFA (whom I havent worked with as I wanted to keep things separate). I work for an IFA at the moment who is great - I have also worked for some pretty rubbish ones. Look for someone who is open about fees and costs and who will commit to keeping in touch with you regularly to review your plans and your situtation. A good adviser will also provide money coaching if you ask. They should work through your priorities and suggest products to you - and explain the charges for the products etc. SJP do not hold well in my estimation as I have heard some horror stories - that's not to say that there are plenty of horror stories about IFAs etc.

Although it would be nice to think that the SJP adviser would "refer you to an independent" if his product was not suitable, this will not happen. They have to sell their own products and would get no credit ( & therefore no bonus/salary) for doing that.

I have worked in the IFA arena for 7 years & never heard anything good about SJP. But a good IFA (admittedly also not the easiest thing to find) is really worth their weight in gold.

Main thing is that you get in with them & you feel they understand you and your aspirations. It should be a long term relationship.

HTH.

Thank you all. Lots to think about and discuss with my husband. Any recommendations of IFAs in the London / Cambridge area well received (by PM). Thanks.

I use Mattioli Woods in particular their Newmarket office which has won several awards from various money organisations for the quality of their advice.

Personally would & have gone for an IFA.
I looked into SJP when I became a director at my old firm as the others all were with them & my IFA was thinking of retiring. Glad I decided to stick with mine (who thankfully has put his retirement plans on hold) the others ended up in a right mess with SJP & we're distinctly unhappy with them, their fees & not great advice.

We use st James place. Really pleased with them, take plenty of time, our guy Nick is really nice (and he always sends us a Christmas card!)