Aegon says FSA must forget product price capping

An FSA discussion paper (DP) published in January includes the option of extending the existing RU64 rule, which requires advisers recommending non-stakeholder pensions to explain why the preferred policy is 'at least as suitable' as the stakeholder alternative, to other retail markets, particularly investments. It also discusses price capping as part of a wider paper on product intervention, which the FSA says may be necessary to improve consumer protection. In its response to the DP, Aegon said it is "generally not in favour" of price intervention and argued the RDR's required divis...