IFAs reputation boosted by financial crisis - Nucleus

The reputation of advisers has been given a boost by the financial crisis, providing them with a wealth of opportunities, suggests a Nucleus survey.

In a poll of 30 member firms, almost half think the crisis has had a positive impact on the industry. Just 5% think the financial meltdown has negatively impacted the perception of advisers.

The findings lend credibility to chief executive David Ferguson's belief the crisis has brought unprecedented opportunities for adviser firms.

Ferguson thinks the financial storm has forced advisers to raise their standards and helped improve the profile of those better quality firms.

"While 2009 has certainly been a challenging year for all in the financial services sector, those adviser firms which offer a transparent, customer-centric service will continue to thrive as clients seek the best advice to guide their financial decisions," he says.

In this respect, he sees both the financial catastrophe and the forthcoming RDR as strong forces for change, leading to an improvement in industry standards.

John Moore, director of central investment services and chair of the Nucleus IFA advisory board, agrees the crisis in the financial markets has helped those better quality firms stand out.

""The adviser-client relationship has been tested to the limit over the past year, and now is the time when truly independent advisers with the necessary expertise and the best interests of the client at heart can stand proud," he says.

The Nucleus findings come as figures from the National Audit Office show City firms including investment banks, lawyers and accountants raked in huge fees for advising the Treasury during the financial crisis.