Outsourcing the day-to-day mechanics of a client’s investment does not give IFAs the freedom to also outsource the risk management of the investment choices made, argues Canaccord Genuity’s head of wealth management in Guernsey, Andy Finch.
In an interview with International Adviser, he explains how each of the three parties – client, IFA and investment manager – share some responsibility but as far as the regulator is concerned, it is the adviser to the client who is ultimately accountable.
Finch also explains what the larger financial planning firms should be looking for in a relationship with their ideal investment manager – or rather, the ideal two or three investment managers – adding that any outsourcing decision should be made according to client need and is far from being a one-off call.
