FCA's Bailey: 'Low interest rate has widened advice gap'

The Financial Conduct Authority (FCA) chief executive said interest rates had affected the advice gap because the cost of advice looked "less favourable" when compared to returns in a low-interest rate environment. He said this was likely to have an even greater effect on smaller investments where the fixed cost of advice - which, he said, was "inevitable" - looked unfavourable relative to amount invested. To try and help plug the advice gap, Bailey said the FCA was providing "all the support it can" to help innovation in the advice sector, particularly through its project innovate an...