View more on these topics

Fair factor

It is amazing how many times the Office of Fair Trading has stymied a simple regulatory solution to the problem of how IFAs charge for their services without real or perceived bias.

Where a maximum commission agreement would have made sense, instead we got menus, defined payments and all manner of regulatory hoops – at least partly because of the OFT. We now face an RDR ban on factoring instead of regulations allowing some factoring on regular-premium products.

In an almost mythical pursuit of fair trading, we are in danger of getting no trading from many IFAs and therefore less competition for the big players.

The answer, however, is pretty simple. There is a way to allow the FSA to guard against bias through standardised factoring but not close down one part of the savings market. The regulator could also look at allowing commercial organisations to offer factoring arrangements. Any OFT objection should be overruled on the grounds of consumer interest.


Bureau de change

If you go back a year or so and look at the material on financial legislation coming out of the European Union institutions in Brussels and you will find a common thread — all the texts read like bureaucratic documents. No, no surprise there. What other characteristics should legal documents have?

Defaqto puts focus on stats

Defaqto has revamped the layout of its quarterly multi-manager guide, Blending Talents, to focus on statistics and comment.


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm