Consultancy firm the lang cat is working to create an online resource to help advisers carry our appropriate due diligence on platforms.
The publication of the Financial Conduct Authority's (FCA) PS13/1 paper in April highlighted the increased due diligence requirements for advisers, the company said.
Advisers will be required to satisfy themselves that a platform service provider has met all of the requirements set out within the FCA platform paper as part of an enhanced due diligence process.
The lang cat is aiming to help advisers by compiling the responses from platform providers to the most pressing due diligence requirement questions.
The resource will be based around platform providers' responses to three principle questions:
- Do you or your associates receive any remuneration in respect of business issued post-RDR which could, in any sense, be construed to contravene the letter or spirit of COBS as amended by PS13/1?
- Do you receive any form of remuneration from retail product providers?
- If so, how do you ensure this remuneration does not create bias in the way you present retail investment products on your platform?
The lang cat principal Mark Polson said: "It is very hard for advisers to [meet these requirements], which is why we are going to go to the platforms ourselves and ask them to fill out the questions. We will publish the responses freely and create a resource for advisers."
Advisers are also encouraged to rate platforms, based on five stress-test questions, in order to build up a picture of how industry participants are perceived.
Polson said: "We want to build up a data set from advisers about whether they feel information is being conveyed to them without bias and whether they have confidence in their platforms."
The lang cat will submit the results of the adviser survey to the FCA in January.
‘Important to have an anchor’
Lack of innovation for solutions
Some 2,000 consumers affected
Achievements, charity work and other happy snippets