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Transact calls for wider re-reg rules

Transact says the FSA’s plans to make platform-to-platform re-registration compulsory by the end of 2012 should be extended to cover all transfers of client assets between all types of financial firms.

Transact head of marketing Malcolm Murray says the firm is disappointed that re-reg is not demanded of other firms which act as “caretakers” for assets on behalf of clients such as insurance companies, fund managers and stockbrokers.

He says: “A lot of re-reg inv-olves stockbrokers re-registering assets in their nominee name into the platform’s nominee name so it should certainly apply to them, private wealth managers or anybody holding other people’s assets.

“We do not want to see this stop at forcing the recalcitrant platforms who are not yet re-registering to do so.”

Murray says there is a regulatory time limit imposed on platforms for the issue of contract notes when assets are bought and sold.
He believes there should also be a limit set for the completion of asset transfers.

He says: “There is a lot of reason to complain about the length of time some parties are taking to transfer assets or cash. Sometimes it is taking months and we feel the client is being seriously disadvantaged.”

Leading Edge Adviser Forum chairman Ben Stevens says: “If we are trying to treat customers fairly, one also ought to be able to transfer in specie without cost.”


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