FSA amends ongoing adviser charge cancellation rules

The proposed amendment (p30-31) would satisfy the regulator's adviser charging rules, which state customers should be able to cancel a service at any time without penalty. According to the regulator, business models which offer, for example, ongoing advice alongside fund management may be at risk of breaching its RDR and TCF requirements. This is because the client would need to withdraw his or her investments from the firm's managed funds if they wished to cancel the firm's ongoing advice service. Such a model could deter clients from cancelling ongoing advice services, the regula...