A person defined under the Financial Services Act 1986 as an adviser on pensions, investments, or life assurance who is not committed to the products of any company or organization. Such a person is licensed to operate by the Financial Services Authority (before 2000 by one of the Self-Regulating Organizations or Designated Professional Bodies). With no loyalties except to the customer, the IFA is bound legally to give impartial advice on products from the whole of the market and should give customers the option of paying for advice by a fee as opposed to commission. This distinguishes the IFA from both a tied adviser, who advises on products from a single provider, and a multi-tied adviser, who is committed to a selection of providers.
Subjects: Financial Institutions and Services — Accounting.