If you are going to claim a product or service is unbiased, how do you make sure it is free from prejudice and eminently fair?
There is a dominant adviser search directory in our industry named just that – Unbiased. It has successfully inserted itself into the selection process for clients looking for a financial planner, but fails to make it clear to users that advisory firms ‘pay to play.’
Inherent prejudice
It’s easy to say you’re unbiased, but it’s tough living up to the hype. Bias is built up over a lifetime of knowledge and experience and can be a hardwired part of who we are.
As independent advisers, we strive hard every day to respect the principals of fairness, deliver value and always act in our clients’ best interests. However, we believe the directory, Unbiased, is inherently the opposite, despite its bold moniker.
The search tool for advisory firms has been loaned a veneer of quality by highly respected mainstream media, such as the BBC, The Times, The Guardian and The Independent, to name but a few, but I don’t believe these giants have looked much beyond the name.
Due to its go-to status, we felt it necessary to sign up to preserve our presence online, but we quickly became uncomfortable with the unfairness of a directory that prioritised firms that pay to appear over those that don’t.
We were also shocked to learn that, when a client is matched to advisers, we are entered into a race, where the ‘fastest finger first’ claims the lead. Yes, some simple screening is carried out, but this is set by the IFA determining the type of enquiry they want, often based on the volume of investable assets, rather than any suitability assessment applied by Unbiased.
The icing on the cake was discovering that some firms listed in the directory were misusing the Chartered title we have worked so hard to achieve and therefore, misleading clients.
Needless to say, we have chosen to end our relationship with Unbiased.
Independent recommendation
We understand how important it is that you can access information that helps with the selection of a financial planner, but we’d much rather you tap into data provided by our professional bodies, than rely on some partisan commercial enterprise.
All practising advisers must be members of organisations such as the Personal Finance Society and the Chartered Institute for Securities and Investment, both of whom can steer you in the right direction. The government agency, Pension Wise, is also a good place to start looking for pension advice.
At Belmayne, we believe actions speak louder than words, hence we decided to vote with our feet and no longer participate in paid for adviser directories. We hope others will follow and move away from such a model, which is unhealthy for clients and adviser businesses alike.
If you would like to know more about our financial planning services, ethos and customer service, check out what clients have to say about us here. Alternatively, don’t hesitate to contact me on (01246) 298181 or email: enquiries@belmayne-ifa.com
