The FSA is planning to launch a database to identify "high risk" advisers as it presses ahead with plans to monitor individuals through data collection.
In today's Policy Statement PS11/01, the FSA says it will require firms to provide data about individual advisers' professional standards which will underpin a new database identifying those advisers which pose the highest risk.
Additional information on advisers will be gathered from alerts provided by firms, accredited bodies, whistle blowing, and other data.
A new individual adviser supervisory function will then filter the information and data gleaned from the database.
The new plans will see an increase in emphasis on how firms monitor and record the activities of individual advisers, even after they have left the firm, as it looks to build a "longer term" view and profile of advisers.
"We are concerned that individual firms only have access to a partial picture of an individual adviser - during the time that adviser is with them.
"We will be able to build a longer term view of the adviser as they move between firms during their career," it says.
Firms will be obliged to complete a form when an approved person stops carrying out their role and require further information if the adviser was dismissed or suspended.
The proposals will mean individual firms - rather than accredited bodies - will play a major role in providing data which the FSA will use to supervise professional standards.
"We do not agree with respondents who suggested that accredited bodies should provide us with the information, as only firms will know all the individuals acting as retail advisers," the paper says.
"We do, however, expect firms to be sharing information with their individual adviser's accredited body."
The FSA says there is "broad recognition" amongst adviser firms of the benefits of submitting professional standards data to the FSA. Responding to paper CP10/14, adviser firms also said the cost of supplying the regulator with individual adviser data will be low because they already hold and update much of this information.
However, there were also concerns a regime requiring firms to notify the regulator about individual non-compliance issues would not be as "robust" as first-hand data collection by the FSA itself.
Of 27 responses to CP10/14, two firms suggested such data should be collected from accredited bodies.
In CP10/14, the FSA proposed firms should provide it with data on individual advisers, including individual reference numbers, qualification status and the accredited body issuing their Statements of Professional Standing.
Feedback to that consultation led the FSA to propose firms should also notify it about any issues with individual adviser competence, including ethical behaviour.
The FSA says it will consult on wider RDR data requirements in the first quarter of this year.
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