View more on these topics

FSA censures stockbroker Falcon Securities

The FSA has censured London-based stockbroking firm Falcon Securities for numerous failures by its appointed representative, Montague Pitman Securities, in the way it treated its customers.   

MPS failed to obtain sufficient information about its clients’ personal and financial circumstances to assess whether its advice was suitable before recommending shares.  

The firm also failed to disclose the inducements it received for selling the shares and used inappropriate sales tactics to pressurise its clients into agreeing to purchase shares.

The FSA says it would have fined Falcon £240,000, but the firm is seeking to go into administration.  

Falcon has also varied its regulatory permissions so that it can no longer provide advice to clients or sell them shares.

Falcon has agreed to send Montague Pitman’s clients a letter advising them of the FSA’s findings, which will include information on how they can make a complaint.

FSA director of enforcement Margaret Cole says: “This action is one of a series the FSA has taken to raise the standards of customer treatment in the small cap stock broking sector.  

“As MPS’ principal, Falcon had an important role to play in protecting consumers. By allowing its appointed representative to treat its clients badly, Falcon allowed UK consumers to be put at significant risk of investing in unsuitable shares.”



Leave group pensions out of the RDR

If all an adviser does all day is talk to businesses about setting up group pensions, why should he be required to train for giving individual advice? Yet this is another of the inapp-ropriate burdens that the FSA is placing on the group pension industry by including it within the remit of the retail distri-bution […]

Out of context

“I’ve got a great idea for a business venture flogging flip flops to drunken girls walking back from the races carrying their high heels.”Aviva head of marketing Richard Kelsall. “I was walking through Swindon one evening recently and thought I had stepped into the Thriller video.”Zurich UK IFA sales director Richard Howells is not the […]

China’s economic bounce may already be over

By Mike Riddell (17 May 2016) Most people would explain the rally in global risky assets since mid-February as being primarily down to the spectacular volte-face from the Federal Reserve, where Janet Yellen (and others) dramatically toned down their narrative that the Fed would be hiking rates as many as four times in 2016. This explanation […]


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