View more on these topics

PFS president: We need FCA support over simplified advice

Recently appointed PFS president also says the FCA seems to be leaving it to the industry to bridge the advice gap.

The FCA and the Financial Ombudsman Service must support the advice profession in addressing a “serious and growing advice gap”, according to Personal Finance Society president David Ingram. 

Speaking at the annual PFS conference in Birmingham last week, Ingram said advisers are likely to take the lead in looking to address a gap in the provision of advice to lower earners. But he said they needed support and guidance from regulatory bodies. 

He said: “There is a serious and growing advice gap, although part of the FCA seems to disagree with us on that. The regulator appears to be leaving it to the industry to try to work out how to address that advice gap. And it is likely it will be the advice profession which takes the lead.

”Some form of simplified advice structure will probably be the start of that process. But we first need to work with both the FCA and the FOS to gain their support before simplified advice solutions can gain traction.”

Ingram told delegates there remains a number of issues resulting from the RDR which need to be addressed, including the regulatory definition of independence and pre-RDR commission. 

He said: “The RDR wasn’t perfect and there are still some issues which need to be addressed, around for example platform usage, trail commissions on pre-RDR business, descriptions of service offerings and how to prove independence.”

Ingram revealed that the PFS’s membership is up 2.5 per cent on last year at 34,256. The number of chartered individuals is up by 18 per cent at 3779, and the number of chartered firms is up by 24 per cent at 558. 

He added: “We are in a profession which is in a very good position, but we cannot and must not rest on our laurels.”

Recommended

Money-Currency-Coins-Pound-GBP-700.jpg

KRS ditches ‘free of charge’ non-advised claim

Non-advised annuity broker Key Retirement Solutions has changed the way it describes its charges following accusations it was “misleading” customers. Last week, Money Marketing reported adviser concern about KRS’ claim that its service is “completely free of charge”. In a section on the firm’s website setting out frequently asked questions, KRS asked: “How much will [the […]

Gregg-McClymont-looks-into-the-camera-at-NAPF-conference.jpg
1

Tory MPs join Labour calls for full pension charges transparency

Conservative MPs have joined Labour in calling for further fund manager transparency over pension charges. In a joint letter, sent to the FT, Tory MPs David Mowat and Nigel Evans wrote to the Financial Reporting Council calling for providers to explain all charges. The letter calls on the FRC “to ensure that the accounting standards […]

Mark-Dampier-MM-Peach-700x450.jpg

Mark Dampier: The perils of predicting markets

If, like me, you have an avid interest in economies and their stockmarkets, you may also have a tendency to read a wealth of economic comment and analysis. The vast majority of those who write do so intelligently and interestingly on all aspects of the economy. Inevitably, their views will differ markedly from the downright […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment