What does being an independent financial adviser actually mean?

When people ask us what makes Newark Wealth different, one of the first things we mention is that we're independent. At a first glance, that might not seem very significant - many firms describe themselves as independent - but there are important distinctions in what that actually means.

In fact, true whole-of-market independence in financial advice is rarer than you might think. Many people assume all independent financial advisers offer the same level of market access - but they don't.

So what does genuine independence actually look like? And why does it matter for your financial future? Let’s dig in…

The reality check

Not all financial advisers have the same freedom to recommend products. Some can access the entire market. Others are limited to specific providers or a select panel of options.

Both types are regulated by the Financial Conduct Authority and meet the same professional standards. The difference is in what they can - and can't - offer you.

Independent financial advisers (like us) can recommend any financial product from across the whole market. No restrictions. No ties to specific companies.

Restricted advisers work within certain boundaries. They might have agreements with particular providers, or only offer certain types of products. They have to tell you about these restrictions, but many people don't fully understand the implications.

Why some firms choose to restrict

Often it's about business structure. If a large company owns the advice firm, the investment platform, and the funds, they can keep all the revenue in-house and control the entire client journey.

There's nothing inherently wrong with this - some restricted advisers are very upfront about it and it works well for certain clients. The issue is when people think they're getting whole-of-market advice when they're not.

What independence means at Newark Wealth

When we say we're independent, here's what that looks like:

No hidden incentives. We don't get paid by fund managers or platforms to recommend their products. We're not under pressure to hit sales targets for particular providers.

Whole-of-market access. If there's a better option for you somewhere in the market, we can find it and recommend it. We're not limited to a pre-approved list.

Freedom to challenge. If a provider isn't delivering good value or service, we can move you elsewhere without needing permission from head office.

You're the priority. Our business model is simple - we get paid to give you good advice. That's it. No complicated incentive structures, no conflicting loyalties.

The practical difference

We believe independence gives us the flexibility to truly tailor advice to your situation. We're not trying to fit you into a pre-packaged solution.

Whether you need pension consolidation, ISA planning, inheritance tax advice, or something completely different, we can recommend what we genuinely believe works best for your circumstances.

Having access to a broader market can also mean finding more competitive options - sometimes the difference in fund charges between similar products can be significant over the long term.

What to ask any financial adviser

If you're ever choosing a financial adviser (whether it's us or someone else), these questions are worth asking:

• Can you recommend any product from the whole market, or are you limited to certain providers?

• Do you receive any payments or incentives from the companies whose products you recommend?

• If I wanted to use a provider you don't normally work with, how straightforward would that be?

• Who owns your firm?

The answers will tell you a lot about how independent they really are.

Our take

We're not saying restricted advice is automatically inferior - good advisers can deliver excellent outcomes regardless of their model. But we believe that when you're making decisions about your retirement, your family's security, or your financial future, having access to the entire market gives us more options to find what's truly right for you.

No conflicts of interest. No pressure to recommend particular products. Just honest guidance based on what we believe is right for your circumstances.

That's what independence means to us.

If you'd like to chat about your financial planning - no jargon, no pressure, just a straightforward conversation - please give us a call.