About Our Services
Who are we and what do we do?
We are a firm of independent financial advisers and have been helping our clients to meet their financial goals by maintaining long term relationships and navigate them successfully through their financial journey.
Purdy Financial Services Ltd is an appointed representative of Peak Assured Ltd which is authorised and regulated by the Financial Conduct Authority (FCA). The FCA is the independent regulator of financial services in the United Kingdom. Peak Assured Ltd is entered on the Financial Services Register (www.fca.org.uk/register) under reference 482276.
What can we do for you?
Our mainstream service is to act on your behalf for the purpose of arranging and advising on the following:
Investments & Pensions, for example an ISA or Personal Pension Plan;
- Personal & Family Protection, for example a Life Assurance or Critical Illness Plan;
- General Insurance, for example Private Medical Insurance.
For all the services described above we will complete a detailed fact find so we can understand your circumstances, specific needs and objectives. Following our research we will provide a personal recommendation(s) for you to consider. With your agreement we will then implement our recommendation(s) and arrange any products on your behalf.
Once your financial plans are in place it is important to keep them under review. Subject to the type of services you require from us, we can continue to act on your behalf through our on-going service proposition. Alternatively, for those who prefer a more transactional or ad-hoc ‘pay as you go’ service, we are also happy to provide our services as and when you need them. Ultimately, whichever type or level of service you require from us we will act in your best interests at all times.
Further details about these and other related services we provide are contained in the pages below. This also confirms the typical cost of our services and how we get paid for them.
INFORMATION ABOUT OUR INVESTMENT & PENSION SERVICES
We offer a range of services to help you meet your investment and retirement objectives. We provide independent advice, which means that our recommendations to you will be unbiased, unrestricted and based on a comprehensive and fair analysis of the market. The amount we charge and the basis of the payment will depend on the service you choose and your individual circumstances.
We will discuss your payment options with you and answer any questions that you may have. We will let you know if you have to pay VAT on the cost of our service.
It is possible that other costs, including taxes related to the business we conduct and products we arrange for you, may arise. These costs will not be paid by our firm but borne by you.
We may also recommend products or services related to your investment and pension needs which are not regulated by the Financial Conduct Authority. For example, cash ISAs, National Savings & Investment Products (NS & I) or Inheritance Tax Planning (IHT).
A description of our initial and ongoing services, their associated costs and payment terms, is provided below.
What can you expect to pay for our investment and pension advice?
Our typical fees for advice and arranging an investment or pension on your behalf are set out below. Where hourly rates are stated, these are the actual hourly rates that will apply. There is an additional charge should you purchase one of our on- going service packages. The typical cost of our ongoing services and what they include is also set out below. You can cancel our on-going services at any time.
Initial Advice Services
For all new clients we offer a first meeting free of charge. The purpose of this meeting is to discuss your needs and objectives and how our services may help you achieve your goals. We usually conduct this meeting at our offices or at your home, but are happy to discuss matters with you over the phone as appropriate, at a mutually convenient time.
Initial Service Description
Initial Service Fees
Advising and arranging on lump sum investments, transfer of pension funds, and advice on what to do with your pension arrangements at retirement (your living in retirement options).
Service typically suitable for those with an existing investment and/or pension portfolio, or a lump sum to invest of more than £25,000.
For completing a fact find relating to your personal details, understanding your attitude to risk and your objectives, then undertaking research on your behalf and providing you with our recommendations, we charge a commitment fee of £750 (exc.VAT).
We will offset this fee if you accept and proceed with our recommendations when we will deal with arranging and implementing the investments/pension funds, and deal with the appropriate administration in putting the recommendations in place.
The payment due on acceptance of our recommendation and/or set up of a new investment/pension is typically:
3% of the amount to be invested less your earlier commitment fee.
£75,000 the fee due to us would be £2,250 less £500 commitment fee
= £1,750 (exc. VAT).
For example: If the value of your portfolio and any new investment is
£75,000 the fee due to us is £2250 less the £750 commitment fee = £1500 (exc. VAT)
If the value of your portfolio and any new investment is £150,000 the fee due to us would be £4500 less £750 commitment fee = £3,750 (exc. VAT).
Please note that for recommendations where the amount to be invested is less than £25,000 the commitment fee of £750 would apply. Therefore for investment of less than £25,000 our typical initial fee could be disproportionately higher. For smaller one off transactions our alternative service is outlined below.
Initial Service Description – smaller sums
Initial Service Fees
Advice and arranging lump sum investments of up to
£25,000 or withdrawal from an existing investment/ pension arrangement.
Typically suitable for those who want to invest smaller lump sums via a straight forward transactional service, such as an annual ISA contribution, or want to arrange ad-hoc / one-off lump sum withdrawals from their existing investment or pension arrangements.
For completing a fact find, undertaking research, providing a personal recommendation and arranging the new investment/pension or lump sum withdrawal, the payment due on acceptance of our recommendation would be 3% of the amount you invest, or withdraw.
For example: If you invest £20,000 our fee will be £600 (exc. VAT).
For a £10,000 withdrawal from your existing investment/pension our fee will be £300 (exc. VAT).
Initial Service Description – regular premiums
Initial Service Fees
Advice and arranging a new regular contribution investment or pension plan, including a top up to an existing arrangement.
This service is suitable for those who only want to save a regular amount, for example every month by direct debit.
It would typically suit those with a budget of at least
£100 per month for a new regular investment or pension, and those looking to top up an existing arrangement with at least another £50 per month.
For completing a fact find, undertaking research, providing a personal recommendation and arranging the new investment/pension or top up to your existing arrangement our fee would be 50% of the first year’s premium subject to a minimum of £750.
New Investment/Pension Plan:
For example for regular premiums of say £150 per month the payment due on acceptance of our recommendation would be £900 (exc. VAT).
Where the premium is £100 per month the payment due would be £600 (exc VAT) but subject to our minimum fee of £750. Therefore for investments of £100 per month our typical initial fee could be disproportionately higher.
Top up to an existing Investment/Pension Plan arranged by us: Should regular contributions be in respect of an existing arrangement, then our minimum fee would not be applied. So for added contributions of say £50 per month the payment due on acceptance of our recommendation would be £300 (exc. VAT).
Fees are payable upon provision of our recommendations and can either be paid directly by you, or where appropriate may be arranged from the funds invested paid to us by the product provider on your behalf.
On-Going Advice and Review Services
We offer a range of support through our on-going services proposition. We will recommend the service to you if we consider it to be suitable for your needs in the future. Once you have purchased an on-going service package you may cancel it at any time, without charge, by writing to us at the above address.
We also recognise that an on-going service package is not suitable for everyone and that some of our clients would simply like to use our services when they need them. For this purpose, we are also happy to undertake future ‘ad-hoc’ or one off review of an investment and/or pension portfolio we arranged on your behalf.
Service Description – On Going Service
Service Fees - Standard Service
Our standard service is typically suitable for those who prefer regular contact with their adviser to review their circumstances
The service includes:
- Annual review meeting; including:
- Review of objectives
- Review of risk profile
- Review of asset allocation
- Changes in taxation
- Changes in personal circumstances
- Annual Statement and Performance Report with portfolio valuations;
- Access to your adviser should you need us in the meantime.
Our standard service is available for 0.5% of the value of your portfolio per year and is charged on a monthly basis at the rate of 1/12th of 0.5% per month.
For example: If your portfolio was worth an average of £25,000 over a 12 month period, the average monthly charge would be
£125 / 12 = £10.42 per month.
If your portfolio was worth an average of £50,000 over a 12 month period, the average monthly charge would be £250 / 12 = £20.83 per month.
Please note: The exact amount we charge each month will depend on the value of your investment and will increase if the value of your portfolio goes up.
The service is available for 0.5% of the value of your portfolio per year and is charged on a monthly basis at the rate of 1/12th of 0.5% per month.
For example: If your portfolio was worth an average of £75,000 over a 12 month period, the average monthly charge would be
£375 / 12 = £31.25 per month.
If your portfolio was worth an average of £150,000 over a 12 month period, the average monthly charge would be £750 / 12 =
£62.50 per month.
The exact amount we charge each month will depend on the value of your investment and will increase if the value of your portfolio goes up.
Ad-Hoc or One-Off Review Service
This service is typically suitable for those who don’t want to pay for regular reviews by their adviser and prefer to monitor things themselves. Upon request, we are happy to offer one off or ‘ad-hoc’ reviews of an investment/pension we set up for you should the need arise.
The cost of this service will vary depending on the complexity of the work and how long it takes to complete. Our adviser charge for this service is £150 per hour (exc. VAT).
A typical review will include:
Updating the information we already hold about you;
- Re-confirming your objectives and risk profile;
- Providing you with recommendations regarding the on-going suitability of your portfolio, and;
- Subject to your agreement, implementing any adjustments to your portfolio we recommend e.g. fund switches.
For a portfolio containing 2 separate arrangements (for example a personal pension and an ISA) we would expect a typical review to take approx. 3 to 4 hours calculated in 15 minute intervals.
For example, if it took us 3 hours and 30 minutes to complete a review, our fee would be £525 (exc.VAT).
What are your payment options?
- We accept direct payment by cheque or bank transfer.
- We do not accept cash.
- We will tell you if it is possible to settle our fees through a deduction from your investment/pension.
Other benefits we may receive
If we take over the servicing rights of your existing arrangements that were arranged by another firm, we may be entitled to receive an on-going payment as a result. This is commonly referred to as ‘trail commission’. Where this is the case we will offset the amounts received against our on-going service fees. For example, if our on-going service fee is £500 and we receive
£200 trail commission from existing arrangements retained as part of your portfolio, the net fee due to us would be £300 (exc. VAT).
Some of the firms whose products we recommend provide us with access to training and software which allows us to offer you a better service. Some of the costs of these benefits may be passed onto you as part of the total charges you pay, should you choose to purchase a product from one of these firms. Further information regarding these arrangements is available on request.
INFORMATION ABOUT OUR INSURANCE SERVICES
Personal and Family Protection
We offer products from a range of insurers for Life Assurance, Serious/Critical Illness Cover, and Income Protection Insurance.
We offer products from a range of insurers for Accident Sickness & Unemployment cover and Private Medical Insurance.
How much do we charge for our insurance services?
Typically we will not charge you a fee for advice and arranging an insurance product. We will receive commission from the insurer and this is reflected in the premium amount you pay to them. The amount of commission we receive will vary depending on the type of contract, term of the cover and the premium amount.
We will tell you how much commission we expect to receive before we transact business for you. You will receive a quotation, which will tell you about any other fees relating to any particular insurance policy we arrange for you.
You also have the option to pay for our insurance services by way of a fee. The amount we charge will depend on the amount and complexity of the work required.
Our standard rate of £150 per hour will apply and is charged in 15 minute intervals. For example if we spent 3 hours and 30 minutes preparing a recommendation and arranging the insurance product for you, our fee would be £525 (exc. VAT). Our fee becomes payable when we provide you with our recommendation(s).
INFORMATION ABOUT OUR OTHER RELATED SERVICES
We will tell you how we get paid and the amount before we carry out any business for you.
WHAT HAPPENS IF YOU HAVE A COMPLAINT?
If you are unhappy with the service you have received or a product we have arranged on your behalf, a copy of our complaints procedure, which sets out how we will handle your complaint, is available upon request.
If you would like to make a complaint please contact us either in writing to: Complaints, Peak Assured Ltd, Mercury House, 24 Bakewell Road, Matlock, Derbyshire, DE4 3AU ; or by e-mail: [email protected] ; or by telephone: 01629 592850.
If we are unable to settle your complaint or you are unhappy with our response, you may be able to refer it to the Financial Ombudsman Service (FOS).
Further information about the FOS is available from their website: www.financial-ombudsman.org.uk or by calling them on
ARE WE COVERED BY THE FINANCIAL SERVICES COMPENSATION SCHEME?
Yes, we are covered by the FSCS. You may be entitled to compensation from the scheme if we are unable to meet our obligations. This will depend on the type of business and the circumstances of the claim. The FSCS only pays compensation for financial loss and the limits are per person per firm, and per claim category, as listed below:
Arranging and advising on most types of investment (e.g. an ISA) is covered up to a maximum limit of £50,000 per person per firm.
Long Term Insurance Contracts:
Arranging and advising on long term insurance contracts (e.g. a life insurance policy, personal pension or annuity) is covered for 100% of the claim without upper limit.
General Insurance Contracts:
Arranging and advising on compulsory classes of insurance (e.g. employers liability), professional indemnity insurance, and general insurance contracts that pay out on death or incapacity due to injury, sickness, or infirmity (e.g. an accident & sickness policy) is covered for 100% of the claim without upper limit.
Arranging and advising on other types of general insurance contracts (e.g. Building and Contents) is covered for 90% of the claim without upper limit. Further information about the FSCS is available from their website: www.fscs.org.uk