The FCA is about to embark upon a Thematic Review around suitability. We understand that 700 firms have been chosen at random to take part in the review.
The regulator is currently emailing those firms to give advance notice of information that will be requested.
The review will focus on advice provided in respect of investment, pension accumulation and retirement income with a view to –
- identifying the ways in which firms provide good advice to consumers;
- identifying areas where firms in general may not meet regulatory requirements in providing suitable advice to consumers.
We believe that the milestones for the review are –
- Initial contact with firm – now;
- Email specifying information required – 18 April;
- Deadline for information – 3 May;
- Request for client file(s) – May/June (for most firms only one file will be requested).
Suitability reports – silver bullet, or not?
Paul Jay Compliance, Suitability DB Pension, FCA, MiFID, Pension, Pension Transfer, PI, transfer, Xplan
If you ask most advice firms which part of the advice process consumes the most time, most will reply: “Suitability Reports”. Based on the mammoth documents that some firms still produce, we can understand why. We do have some sympathy with firms though. On the one hand they’re told by the FCA that reports are […]