MiFID II and Transparent Fees for Expats- Fee Based Advice

MiFID II and Transparent Fees for Expats

We have mentioned MiFID II and transparent fees for expats in a previous blog , and the effects on the advice within the EU.

This was highlighted again in a panel discussion forum at the International Adviser Awards in London on 28^th September. James Caldwell of Aisa Group was on the panel and referred to MiFID II and transparent fees for expats as a hurricane of legislation that would cause a lot of collateral damage to the old style of the delivery of financial advice.

MiFID II and Transparent Fees for Expats

James Caldwell said-

‘The Insurance Distribution Directive (IDD), the Packaged Retail and Insurance-based Investment Products (Priips) directive and the revised version of the Markets in Financial Instruments Directive (Mifid II) are all due to be implemented early next year.

The bottom line is, a lot of advisers in the UK, as well as the rest of the EU, don’t know what is about to hit them. I liken it to a hurricane, it’s not going to kill anybody but it will destroy a few businesses. People don’t really recognise that the IDD was introduced over a period of five deadlines. The final deadline for Mifid is January, with Priips also around the same time.‘

I have already commented in public about PRIIPS and how this will benefit the consumer.

Embracing the future

A recent article in International Adviser referred to a savage cut in the number of advisers in the EU and elsewhere as a result of MiFID II and Transparent Fees for Expats in the EU (and elsewhere).

I do not agree, I would suggest this will see an increase in the number of advisers in the EU and a reduction in those just selling products. A win for the adviser community and clients alike.

Sitting in the audience at the International Adviser Awards, I realised that there were some there that do not see the future so positively- judging by the comments I overheard. Well, change is coming and we can all move positively towards adopting the change or be an IFA King Canute shouting at the tide to turn back.

The views expressed in this article are not to be construed as personal advice. You should contact a qualified and ideally regulated adviser in order to obtain up to date personal advice with regard to your own personal circumstances. If you do not then you are acting under your own authority and deemed “execution only”. The author does not except any liability for people acting without personalised advice, who base a decision on views expressed in this generic article. Where this article is dated then it is based on legislation as of the date. Legislation changes but articles are rarely updated, although sometimes a new article is written; so, please check for later articles or changes in legislation on official government websites, as this article should not be relied on in isolation.

This article was published on 3rd October 2017

“About

Chris Lean

Chris is a Chartered Financial Planner who writes blogs and articles to simplify and explain some of the financial issues that affect UK expats. Subjects include; hot topics, regulation and the ever-changing world of finance.

MiFID II and Transparent Fees for Expats