Sandler products will not prevent mis-selling

The Financial Services Practitioner Panel has warned that the Government's proposed suite of stakeholder investment products may leave the investment industry vulnerable to mis-selling complaints even if they are compliant with the Sandler provisions and the FSA implementation regime. Panel chairman Donald Brydon told the FSA's annual general meeting last week that due to the risk of clients complaining to the Financial Ombudsman, vendors will need to carry out suitability fact-finds when selling Sandler products, without the prospect of any economic benefit in return.