The FSA is collecting information from product providers on IFAs with severe commission clawback debts.Speaking at Money Marketing Live, FSA head of investments for small firms Jonathan Fischel revealed that the regulator is investigating the previous and current financial problems of a sample of 50 advisers. The results of the probe will be published early next year. The investigation also aims to gauge the quality of the advice provided by the firms and whether their advice demonstrates any commission bias. Fischel said the FSA gathered information from product providers which revealed that part of the sample of firms had substantial commission clawback debts. He said it was unclear whether there is any correlation between those with financial difficulties and commission bias. He said: “We are collecting information from providers on firms with commission clawback debts to identify issues with intermediaries. We do not know whether there is any correlation between the financial situation of the firm and the quality of its advice but this is something that the project is designed to work out.” Worldwide Financial Planning IFA Nick McBreen says: “This a result of the problem of advisers moving their clients around from provider to provider and is part and parcel of providers marketing commission-led products. “It could also be an indicator of the value of these advisers’ businesses being built at the initial stage and the fact that they are not reviewing things after a sale.”
Hargreaves Lansdown is setting up a foreign currency service allowing clients to fix exchange rates for up to two years ahead. It is aimed at overseas property buyers and expats.
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The service is based on a TCF audit, which assesses how a company is doing in key areas which the FSA refers to in communications. Haven director Mike Kennedy says the object of the audit is to identify areas of success and areas where more work is required, which then leads to a supporting action […]
Skandia protection mark-eting manager Alison Turner-Holmes is to join Resolution life as head of marketing.
“There is a serious risk of unhappy times if a full-scale trade war breaks out. If that happened it would make Brexit look like a walk in the park”, says Loomis Sayles chief economist Brian Horrigan. Click here to read the full article
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