MiFID draft limits commission ban to IFAs

The paper is at the Level 1 stage of being drafted and will now go out to the governments of the 27 member states for further negotiation. It will then need to be passed by the European Commission and adopted by the European Parliament. If implemented in their current form, the rules would seem to allow restricted advisers to escape from the Financial Services Authority's changes to the adviser charging rules under RDR, which ban commission payments in favour of fees and are due to come into force in January 2013. However, Peter Snowdon, partner at law firm Norton Rose, said the draft...