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 for free

  • 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

Hitting milestones later in life could impact when people seek advice

Hitting milestones later in life could impact when people seek advice

People will likely be seeking financial advice later

Laura Suter
clock 19 April 2024 • 3 min read
Regulatory pressures taking a toll on industry stress levels

Regulatory pressures taking a toll on industry stress levels

'Regulatory pressures are the first thing on my mind’

Sahar Nazir
clock 19 April 2024 • 1 min read
Advisers blast FCA funding requirement of £755m 'inexorable'

Advisers blast FCA funding requirement of £755m 'inexorable'

‘I don’t really know what value I’m getting from the FCA – if any’

Hope Coumbe
clock 19 April 2024 • 2 min read