Axa and Seven Investment Management say the FSA is confused over whether platforms are service providers or product providers.
Speaking at the PIMS conference yesterday, Axa managing director of UK distributors David Thompson said the regulator seems to be undecided about what kind of businesses platforms operate.
Thompson said: “It seems like the FSA cannot quite get its head round whether platforms are providing a service or if they are actually products, which may be slowing down the process of producing final rules for the way platforms should work.”
The FSA has yet to publish its consultation paper into platforms. Last August, it published its platform policy statement which stated it was “desirable” to ban both cash rebates and payments between product providers and platforms. It delayed implementing any new rules to consult again on any changes and will publish a further consultation paper.
Also speaking at PIMS, Seven Investment Management chief executive Tom Sheridan said: “I think the regulator is still trying to understand exactly what it is that platforms provide.”
Money Marketing revealed last week that the FSA’s investment policy team will recommend to the regulator’s board in July that any implementation of client fund information rules be delayed by 12 months. The rules were initially planned to come into force on January 1.