Questions over use of commission under MiFID

Speaking at the FSA’s MiFID conference in London yesterday, Philip Warland, senior adviser at PricewaterhouseCoopers, said distributors of retail financial services products will be affected more than providers by the EU’s Markets in Financial Instruments Directive (MiFID) when implemented, yet IFAs are still “largely in denial” about its impact and “wish it would go away”. More specifically, he alleges it could bring into question whether commission paid to IFAs by provider firms should be considered an inducement of business from investment firms, but intermediaries have so far failed to...