Aifa fears over ombudsman funding
Aifa has expressed concern about the proposed funding structure for the Financial Ombudsman Service in its response to the FSA's consultative paper. Aifa says only 15 per cent of complaints handled by the service derive from IFAs and most have never faced direct costs for the FOS and it must demonstrate the value of a general levy on IFAs. Aifa say the proposed 50:50 split between a levy and case fees is a reasonable starting point but any adjustment should not result in case fees being so high that one or two complaints might affect the financial stability of small IFA firms.
Get online for full stakeholder list
The full list of stakeholder products will be available online from Money Marketing from Friday, when the scheme is launched. The list is divided into 35 individual and 36 group products. Information for the Money Marketing Pensions Survey was gathered after looking at registered schemes and from a survey of pension providers to ensure all products and providers were captured. The full list is available at moneymarketing.co.uk.
Treasury ponders stop-gap LTC Cat
The Treasury says it may introduce Catmarks for long-term care products as a “stop-gap” measure until full regulation is introduced in about two years time. Speaking at a conference, Treasury policy adviser Sanjay Ghosh said temporary LTC Catmarks may be the way to resolve industry demands to introduce regulation as soon as possible.
Firm fined £40k over review failings
The PIA has fined IFA The Pension Shop of High Street, Ripley, Surrey £40,000 with costs of £10,000 for pension review failings. It has also suspended the investment business of IFA Capella Financial Services of Salisbury Road, Christchurch, Dorset and Wilson Insurance Services of Newhaven Road, Edinburgh for failing to renew their professional indemnity cover. This is the 26th time this year that the PIA has taken action against firms, with a total of £842,000 in fines.
Freetrawl finds value in Tep market
Freetrawl.com, the website which help IFAs find the best price for clients' traded endowment policies, says it has a successful first year, achieving an average of 19.5 per cent over surrender value on Teps traded. It says this compares with an average value of only 16 per cent by market-makers in the traditional Tep market.