The regulator has warned networks about their appointed representatives (ARs) being "inappropriately influenced" by introducers, while reminding them they are responsible for the regulated activities of their ARs.
In an alert on its website the Financial Conduct Authority (FCA) said it was aware introducers could inappropriately influence final investment choices and tasks central to the advice process. The watchdog said it had seen instances where referrals from introducers were made "with a clear investment desire expressed by the customer" and already-completed documentation. It warned principals of networks they had to meet the regulatory requirements set out in the FCA's handbook when accepting business from an introducer. "[The principal] must ensure it understands and mitigates these ris...
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