The Association of IFAs says its first reading of CP157 released late yesterday has found nothing it...
The Association of IFAs says its first reading of CP157 released late yesterday has found nothing it does not broadly agree with.
AIFA believes the proposals mean the core level of competency for giving advice seems higher than for the FPC - a change it supports.
And it believe requiring advisers to have a broader knowledge base will benefit consumers, particularly on issues such as macroeconomics and the implications for investment advice.
An AIFA spokeswoman says the association already argues that knowledge of investment needs to be "beefed up", while the addition of modules looking at ethics will also improve the levels of service provided.
The only cloud on the horizon so far is the question mark over what sort of competency would be required to sell "lower risk products", i.e., the suite of stakeholder products suggested by Ron Sandler.
"We are in favour of not lowering the requirements too much. Just because a product is considered safe does not mean there is less need for advice," the spokeswoman says.
AIFA is also pleased about the grandfathering clauses as it "appears" that advisers already in possession of qualifications will not be required to resit exams.
AIFA feels it should be up to firms to decide who needs to brush up on particular skills, and that there does not need to be a blanket statutory requirement imposed.
"Firms should be able to determine their own training needs."
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