The FCA has published CP17/28, a consultation paper on the proposal to formalise rules on dealing with insistent clients. The rules will be based on what was originally guidance in Factsheet 035 (February and June 2016) in relation to pension reforms. However, the rules will apply to any kind of business not just pensions transfers, conversions or opt-outs.
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Since the pension freedoms came into being in April 2015, there has been a marked increase in the number of clients wishing to effect a pension transfer contrary to advice received. The FCA intends to formalise guidance to advisers in new rules in response to the feedback they have received from firms. The consultation paper gives firms an opportunity to give more direct feedback to the FCA. It is worth reading even if you do not intend to give feedback so you can get a feel for what is coming.
Read the fact sheet and consultation paper.
If you need any more information meantime, contact your usual ATEB consultant or click here.
The FCA is consulting on proposed guidance to firms in dealing with vulnerable clients.
While this paper is mostly of relevance to Pension Providers, there are some implications for advisers.
See here for dates and registration details.
The FCA has stated clearly that monitoring firms’ implementation of the Conduct Rules will be a key focus in future reviews of of SM&CR.
FCA video guide to pension transfer advice for consumers
Alistair MacDougall Compliance FCA, Pension, Pension Transfer
Although aimed at consumers, firms involved in transfer advice would do well to view the video.