FSA proposes 'sales advice' in controversial RDR

In its Retail Distribution Review (RDR) feedback statement, the regulator proposes splitting 'independent advice' from 'sales advice', rather than simply 'advice' from 'sales'. It represents a significant shift from the "simpler landscape" painted in April's Interim Report, which suggested only one type of adviser as part of a "clear division" between advice and sales. Additionally, independent advisers will be required to set their own charges for advice, removing provider influence altogether but raising questions about the future of commission and, in particular, trail payments. In...