Introduction 

The Sandler report says that people are put off investing because the current system is too complicated and prevents people working out where to find the best deals.   The report has listed a number of key areas of concern.

1. Clarity
   The report says savers are let down by the complexity of the financial services industry with too many products, a massive array of charges and incomprehensible technical language.   The report proposes new easy-to-use, low charge products, similar in concept to the stakeholder pension.
    

2. Advisers
   Advisers are mostly paid commission by the companies who create the products. This tempts advisers to push those with the highest charges leaving little encouragement for "cost-effective products and good quality advice" to succeed.   The report proposes that advisers should be paid by clients through hourly or fixed fees to ensure best advice.
    

3. Trackers
   Savers tend to be sold "actively managed funds" rather than "tracker funds".  The high fees and charges of active fund managers allow high commission incentives to be paid to Advisers.   But the heavily-promoted actively managed funds tend to give below average returns.   The report says that greater transparency and simpler products would make this performance difference clearer.