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Never find the liability, feel the quality

Bankhall says there is no benefit in joining a network because they offer advisers no protection from liabilities arising from complaints against them.

What absolute rubbish. If that is the principal criterion on which a firm would apply for membership, then any quality network would very probably turn them down, and be wise to do so.

In any event, how could any firm reasonably expect any network to take on responsibility for the consequences of all their sins and omissions with no means of financial recourse?

A network offering that kind of deal would find itself in administration quicker than you could say “The FSA offers good value for money and does an excellent job” (actually, most IFAs would have considerable difficulty in saying that at any pace but you get my drift).

Perhaps we may assume that Bankhall is looking to recruit advisory firms who have given up on the idea of finding a network to carry the can for all their liabilities and who are now unhappily resigned to the joys of direct regulation with a bit of token compliance support to help them sift through the boatloads of garbage pumped out from Canary Wharf.

Good luck to you Bankhall. Quality will prevail, I’m sure.

Julian Stevens
Partner
WDS IFAs Bristol

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