Foster Denovo to close adviser events business after inducements clampdown

Scott Sinclair
clock

National advisory group Foster Denovo is set to close a subsidiary which put on provider-funded events for its 80-plus advisers after a regulatory clampdown on inducements.

Group directors said they intend that Foster Denovo Event Management (FDEM) will cease trading in 2014. The subsidiary will fulfil its obligations for events already arranged until the end of the year, though it will receive no revenue for doing so. The group has been transitioning the now loss-making business away from putting on provider-funded events for its advisers and towards operating as an information-only proposition since 2012. It followed a regulatory crackdown on provider payments to advisory businesses by the then-Financial Services Authority (FSA) two years ago. Ea...

To continue reading this article...

Join Professional Adviser

  • Unlimited access to real-time news, industry insights and market intelligence.
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters.
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection.
  • Members-only access to the editor’s weekly Friday commentary
  • 
 Be the first to hear about our events and awards programmes.

Join

 

Already a Professional Adviser member?

Login

More on Your profession

Majority of IFAs 'concerned' about artificial intelligence

Majority of IFAs 'concerned' about artificial intelligence

Three in five believe regulations on use of AI tools should be made stricter

Sahar Nazir
clock 08 December 2023 • 2 min read
Model portfolio services outperform adviser platform market

Model portfolio services outperform adviser platform market

NextWealth says 41% of advisers expect to increase MPS use next year

Sahar Nazir
clock 08 December 2023 • 1 min read
PA Working Lunches: Register today to hear from Schroders

PA Working Lunches: Register today to hear from Schroders

Join us for an informative session worth one hour of CPD

Professional Adviser
clock 08 December 2023 • 1 min read