AIC calls for factory gate pricing

The Association says the FSA must use the Retail Distribution Review to implement radical change to help the industry provide simple, value for money products with high quality advice and prevent mis-selling. It follows similar pleas from Winterthur last week, which offers its own version of factory gate pricing called ‘Flexible Adviser Remuneration (FAR). According to the AIC, current fee and commission structures do not provide sufficient incentives to provide good advice and the best way to change this is to un-bundle the cost of advice from the cost of financial products. Daniel...