Issues of provider investment in adviser firms, use of the word "independent", initial disclosure documents, technology, and the ability to do business over the telephone have been specifically tweaked by the FSA in response to earlier proposals on de-polarisation.
The regulator is extending proposals to limit investments in or credit to distributor firms by providers. Original proposals in CP 166 were to limit such investments just to cases involving so-called whole-of-market firms advising on the full range of products on the market. Now, however, the FSAsays it wants to extend this rule to firms or businesses advising on even a limited range of products, in order to ensure all consumers can be confident there is no bias in any recommendations made. The quid-pro-quo of this change will be the raising of the upper limit at which advisers must n...
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