Trail commission does not benefit clients

Renewal commission originates from practices in general insurance where many financial advisers have...

Renewal commission originates from practices in general insurance where many financial advisers have their origins. Despite the two types of business being totally different, insurance companies remunerate brokers in a similar way to IFAs by paying a small extra commission every time an investor pays their annual pension or endowment contribution, in addition to the massive initial indemnity commission. In the main, while insurance brokers do something for this payment, and receive considerably more for it (typically 15%), life brokers do little unless they believe there is an opportuni...