Savvy investors snub financial advisers

Two thirds of investors don’t bother seeking financial advice before making an investment, according to a new study.

In a poll by the Fair Investment Company (FIC), 64% of respondents said they would not seek advice before making a decision about where to invest their money.

Just 34% said they would get advice before making an investment.

George Ladds, FIC’s head of investment and pension research, said the results of a poll reflect public scepticism towards financial advisers.

“Many feel let down by advisers who have not provided an adequate service and are starting to take matters into their own hands,” Ladd said.

He added that online investment products have effectively cut out the middle man and offer better returns than products available on the high street.

“With so many investment and savings products available online it is now so much easier for people to do their own research and then make an informed decision about their own assets,” he said.

“They can cut out the middle man, and often get a much better deal.”

Over half (51%) of those polled said high returns are the most important factor to consider when making an investment, compared to 34% who cited capital security as the most important.

Discuss this in the Finance Markets forums

Story link: Savvy investors snub financial advisers