Advisers welcome FCA clampdown on firms delegating advice

Improperly delegating regulated activities to others can have 'serious implications', regulator warns

Carmen Reichman
clock

Financial advisers have welcomed a regulatory crackdown on firms delegating regulated activities to unauthorised third parties.

Advisers said they did not see the benefits to operating in this way, though one admitted offers are sometimes presented in a way that appears attractive. On 30 November, the Financial Conduct Authority (FCA) warned advisers of their responsibilities if approached to delegate their regulated activities - such as providing pension switching advice - to unauthorised third parties. It said authorised firms must be aware of the "serious implications" of improperly delegating regulated advice to an unauthorised firm. The regulator had found some firms whose entire business model was bui...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Regulation

FSCS places Lancashire firm Frodsham Financial Planning in default

FSCS places Lancashire firm Frodsham Financial Planning in default

Advice practice formerly traded as Tom Carroll Associates FP

Hope Coumbe
clock 13 February 2024 • 1 min read
Schroders CEO: 'Private is a much easier place to exist than public'

Schroders CEO: 'Private is a much easier place to exist than public'

Peter Harrison says he is 'not quite sure we can solve the problem'

Cristian Angeloni
clock 02 February 2024 • 3 min read
FCA: Blackmore Bond promotions had 'very relevant risk warnings'

FCA: Blackmore Bond promotions had 'very relevant risk warnings'

No enforcement action for firms who approved financial promotions

Hope Coumbe
clock 07 December 2023 • 3 min read