Independent advice firms could be forced to offer restricted services unless the FSA scales back its definition for retail investment products in the RDR, the Association of IFAs (AIFA) says.
AIFA director general Chris Cummings says the scope of products the FSA now wants advisers to consider - including structured investments and exchange traded funds (ETFs) - is "simply huge", adding it would be difficult for firms to research the market effectively. In last June's RDR consultation paper, Delivering the RDR, the FSA proposed a new definition for retail investment products to which its independence requirements will apply. It said, in addition to the current packaged products, retail investment products should include unregulated collective investment schemes, all inves...
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