View more on these topics

Sesame backs regulation for support services firms

Sesame is backing Tenet’s move to apply for FSA regulation for its support services arm despite regulation not being required.

Sales and marketing director Steve Young says it demonstrates a positive and confident attitude if a support services firm seeks FSA regulation.

He says there have been very low barriers to entry in this sector and regulation will improve standards overall.

He also dismisses SimplyBiz’s suggestion that regulating support services firms would bring additional costs, saying there is no risk of further costs to individual advisers.

Young says: “I am not suggesting any firms are not acting professionally but the fact is we need to be prepared to hold up the same professional stan- dards as a regulated network.

“The suggestion that this will introduce double costs is rubbish. I think that is wrong. Anyone who knows the basis on which you gain regulated status knows you do not have to pay on behalf of all advisers.

“I think the question Tenet has raised is an excellent one. Why shouldn’t it be prepared to be as professional as the IFAs using its services?”

SimplyBiz says a meeting of the Association of Professional Compliance Consultants a couple of years ago saw the majority vote against the regulation of support services.

Managing director Ian Thorneycroft says: “I cannot see that if we were to receive regulatory visits and the like, there would be no charge which would ultimately have to be passed on.”

Recommended

Insight bucks trend in move out of Nurs

Insight Investment is bucking the industry trend by converting its diversified target return fund from a non-Ucits retail scheme structure to Ucits III next month. Most multi-managers have been converting their funds from Ucits III to Nurs to access the greater investment flexibility that enables. But Insight says Nurs funds require life insurance companies to […]

Barriers to implementing extranets revealed by Focus

Perceived expense and difficult implementation are the key barriers to financial services firms using adviser extranets, according to a survey by Focus Solutions.The survey, carried out in conjunction with Sun Microsystems, surveyed a sample of 35 attendees of Focus’ July event entitled Enabling true multi-channel delivery Extranet services of the future”.Key objectives for implementing an […]

Self help

The White Paper has largely ignored the lack of self-employed provision

SimplyBiz takes steps to aid retiring members

SimplyBiz is offering a retirement planning scheme for members which it says will work along similar lines to an annuity. The exit strategy programme, called Stepping Out, will marry retiring members with another member firm that will take over their book of business and its renewals. SimplyBiz will pay members 70 per cent of the […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment