The FSA will use new rules requiring firms to publish the complaints records of their advisers to help "build an overall picture" of individuals, but it has promised to investigate fully any cases that give it cause for concern and says it will only ban advisers as a last resort.
Advisers said relying solely on complaints data could give the regulator a skewed view of individuals because complaints are often unjustified. The FSA yesterday proposed firms provide details including number and type of complaint alongside advisers' individual reference numbers in their twice-yearly Complaints Return Forms and their 'Notification of changes' (Form D) documents from 2013. Currently the FSA collects complaints figures at a firm level only. But Peter Smith, FSA head of investments policy, said it would not rely solely on complaints statistics to determine whether an...
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