Advisory firms will have to fork out £31.5m to compensate Arch Cru investors through the FCA redress scheme. Carmen Reichman investigates how PII policies will be affected.
The repercussions of Arch Cru continued to be felt the in advisory community last week as the Financial Conduct Authority (FCA) revealed adviser liabilities would reach £31.5m. The inevitable knock-on effect is that professional indemnity insurers are facing a raft of payouts to investors on behalf of their policyholders. Another unavoidable follow-on is the fallout on future premiums. The FCA said 353 advisory firms were embroiled in the latest compensation payout scheme, with 147 advisory firms having already been referred to the Financial Services Compensation Scheme (FSCS), which ...
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