Inducements under the FCA microscope: the good and the bad

The bad The regulator takes the view that advisers are as equally responsible for ensuring conflicts of interest were not breached as the providers. Advisers will find themselves breaching the rules if they entered agreements which could potentially influence their personal recommendations and create conflicts that the FCA did not think could be managed fairly. These would likely create a breach of the FCA's Princliple 8 - conflicts of interest or violate the COBS inducement rules. The FCA warned that longer term multi-year agreements between providers and advisers were more like...