This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. Find out more here.
X
MM+Cover+small+181214
Categories:Advisers,Regulation

'FSA is still determined to bring in simplified advice'

  • Print
  • Comments (1)

The FSA is still committed to producing a practical solution for simplified advice, according to Ernst & Young director Malcolm Kerr.

At the Tenet conference last week, Kerr said although the regulator is struggling to find a workable simplified model, it is still determined to come up with a solution.

The FSA published its guidance consultation on simplified advice in September. It said the advice would have to comply with adviser-charging rules after the RDR is introduced and advisers offering a personal recommendation would have to be qualified to QCF level four.

Kerr said: “The FSA is struggling to get the simplified advice concept out into the marketplace but, having spoken to the regulator, it is still determined to try and make it work.”

Institute of Financial Planning chief executive Nick Cann says: “The problem is that we are trying to look for a solution within the current regulation which makes adviser liability too high for simplified advice to be given.”

  • Print
  • Comments (1)

Daily Email Updates
If you enjoyed this article, sign up to receive the latest news and analysis from Money Marketing.

The Money Marketing CPD Centre
Build your annual CPD - you can log and plan your CPD hours for free with The Money Marketing CPD Centre.

Money Marketing Awards 2015
Put your firm forward as the leading practitioner in your field. Adviser and Advertising categories are open to entries - Enter Now.

Readers' comments (1)

  • Level and mortgage-related decreasing Term Insurance? Cash ISA's? NS&I savings products? FTSE Tracker ISA's?

    Why ever is the FSA so hell-bent on (always at everyone else's expense of course) trying to reinvent the wheel?

    And what if these simplified products attract no more interest than stakeholder pensions or stakeholder Cash ISA's?

    Oh well, never mind ~ it sounded like it might be a good idea, in theory at least, and the tens of millions of pounds we blew on trying to get the whole misbegotten idea off the ground was all OPM, so what the hell?

    Might it not be a massively better idea to concentrate resources on regulating the retail arms of the banks? Probably, but no one's listening. As usual.

    Unsuitable or offensive? Report this comment

Have your sayEdit my profile/screen name

You must sign in to make a comment

AXA Wealth


Fund Data

Editor's Pick



Poll

Two years on from the RDR, do you think consumers are better off as a result?

Job of the week

Latest jobs

View all jobs

Most recent comments

View more comments