Suitability – Thematic Review

15 April 2016 Alistair MacDougallCompliance

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).

Don’t forget to check Our View about this article and the Actions Required By You

Important Note: ATEB news is intended to provide general information ONLY. The content, including any views expressed or guidance provided, does not replace the need to comply fully with FCA Rules and Guidance. Unless you have discussed news article content with ATEB, and specifically how it relates to your circumstances, then ATEB disclaims all liability and responsibility and actions arising from any reliance placed upon it. For the avoidance of doubt therefore, any reliance you place on such information without our consultation is at your own risk.

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Our View

If your firm is chosen to take part in the review, you will already have received an email or will do so shortly. Timescales to provide the information that will be requested are quite tight so some preparation following the first email will be beneficial.