The CML's calls for PIC's to be regulated appears to have a support among independent financial advisers some of who are calling for a more level playing field as well as voicing concerns about consumer protection.
The CML’s calls for PIC’s to be regulated appears to have a support among independent financial advisers some of who are calling for a more level playing field as well as voicing concerns about consumer protection.
Duncan Ellis, senior consultant at Lighthouse Independent Financial Advisers Limited comments:
As an IFA who gets involved with investment advice in many areas, often involving SIPP or cash investments in property partnerships in many different shapes and sizes, I have been confused and perplexed for many years at the way that the property intermediary market in the UK gets away with marketing and selling property investments to customers without being authorised to give what is essentially investment advice.
I don't understand why we IFA's who have to go through massive amounts of due diligence and report writing to offer investment advice on collective funds/LLPs or offshore OEIC structures of property investments, but ‘Up Market’ estate agents or property brokers can sell property investments for huge commissions without any need to be regulated or PI covered for their advice.
It's not just about protection for the consumer, there's a market discrepancy. If you're giving advice or selling investments, you should be properly authorised and regulated by the appropriate regulatory body such as the Financial Services Authority (FSA) and you should incur those costs in the same way as all other FSA authorised businesses have to, not to mention PI cover!IFAonline
Putting the tech into protection
Square Mile’s series of informal interviews
Fallout from Haywood suspension
Launching later in 2019
£80bn funds under calculation