The Financial Conduct Authority (FCA) has agreed to issue further guidance on the treatment of legacy cash rebates as part of its next quarterly consultation paper.
Cash rebates to retail clients on legacy business will be permitted to continue indefinitely, unless the investment is transferred to funds which do not allow cash rebates on or after the April 2014 deadline. The regulator has said it will move to further clarify its policy intention next month in response to a number of queries it has received from firms. "In view of the queries we have received, we have concluded that it would be helpful to add guidance on the treatment of legacy business in relation to cash rebates to retail clients, and intend to consult on draft guidance in the S...
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