View more on these topics

Rogue shake-out to push up FSA costs

FSA fees are likely to increase in the short term to get rid of rogue advisers in the market.

At a debate on the retail distribution review at last week’s Personal Finance Society conference in Birmingham, director of small firms Stephen Bland said the FSA is increasing small firm supervision which will lead to a shake-out as the industry moves towards higher standards.

He says fees are likely to rise to cover the cost of the extra work but advisers, especially small firms, will benefit in the long term through the RDR changes which should lead to lower costs on the Financial Ombudsman Service and Financial Services Compensation Scheme.

Addressing fears that the RDR will squeeze out small firms, Bland said he expects a healthy and thriving community of small firms to continue as a result of the changes.

Bland said: “We want to get rid of the rogues in the market and provide help for the vast majority of firms wanting to do the right thing. There will be a bit of a shake-out as we move towards higher standards in the IFA industry. There will be a short-term rise in direct FSA costs but overall the package should go down and I have every confidence there will be a healthy community.”

Bland said the FSA has had around 250 official responses to the RDR but is also considering the feedback it has had from talking to small firms across the country.


Henderson takes global outlook

Henderson’s multi-manager team has replaced the Artemis European growth fund with Artemis global growth in its independent growth portfolio fund to gain further exposure to Asia and emerging markets.

On balance

Despite the economy slowing in the first quarter, the US markets still represent good value, especially as GDP is expected to remain stable in the second half of the year and into 2008. It is worth bearing in mind that the US may not be the fastest-growing economy but it is still the biggest and it benefits from the rapid growth seen internationally.

The savvy consumer

In last year’s FCA thematic review of the mortgage market, one of the key things highlighted was the “savvy consumer”. That’s the client who comes in the door with a very clear idea of what they need and expect you to get them it. They don’t think they need advice, they have after all consulted […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm