The FSA's move to raise capital adequacy minimums for SIPP providers may fuel consolidation in the market, leaving the future of some administrators uncertain. Jenna Towler finds out what it means for advisers…
About half of all new pensions sold in the UK are now self-invested personal pensions (SIPPs), according to the latest sales data submitted to the Financial Services Authority (FSA), meaning the product is now mainstream. This mainstream status brings with it necessary regulatory oversight to ensure consumers are not left exposed. The FSA’s latest move to tighten up the SIPP market is its consultation on providers’ minimum capital adequacy (cap ad) levels. The consultation was launched last year and is due to close on 22 February. If it goes ahead unchanged [see the orange box on t...
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