Are fees always best?
Dennis Hall is quoted in an article in The Times newspaper which asks the question:
Paying upfront for financial advice removes bias but is commission always bad?
Although Mr Hall prefers fee-based advice, he points out that the advantages of payment through commission do extend beyond perception. For instance, fees can incur VAT, unlike commission, which may also attract tax relief if paid on contributions to certain products, such as venture capital trusts and pensions. This may make it sensible for fee-charging advisers to offset part or all of their charges against the commission that they earn on any products their clients buy as a result of their advice.
Read the rest of this article on The Times website.
