Fears mount for products hit by 'legacy' commission rules

Representatives from platforms and fund management groups are understood to be dissatisfied with the lack of clarity over the FSA's definition of legacy commission - issued to trade bodies in April - and believe the RDR will be delayed if the FSA consults with industry further. They are unsure which products - particularly old life insurance contracts - will come under the scope of the rules. In its April communication, the FSA restated it would be "undesirable in principle" for legacy commission to be paid to advisers after the RDR requirements come into force. It defined legacy ...