PFS warns of 'haunting' risk of discretionary agreements claims

Offering guidance

Sophie King
clock • 2 min read

The Personal Finance Society (PFS) has published a guide warning advisers what to do to ensure any work they do with discretionary investment services does not come back to haunt them.

The guide, produced for the society by qualitative research firm Diminimis, has set out to clarify the legal and regulatory requirements that need to be met by advisers and any discretionary investment service they work with. If an adviser were to act outside the authority given to them by the advisory agreement they have in place, it warned, then both the client and the discretionary investment manager could make a compensation claim. Advisers must check agreement terms with DIMs, warns consultant Furthermore, the guide suggested producing an agreement that does not leave advisers...

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