St James's Place 'crisis talks' and retiring before state pension age - here's our weekly heads-up on the financial stories that may have caught your clients' attention over the weekend …
St James's Place comes clean: your pension shouldn't pay for our holidays
SJP has held "crisis talks" after The Sunday Times last week unveiled the advice giant's extensive sales incentives. This weekend, however, The Sunday Times reveals two cruises in Spain and Greece are still going ahead despite many advisers being "desperate" for a culture shift, according to a whistleblower.
The crisis talks, held in the form of an online conference call for the firm's advisers, were led by managing director Ian Gascoigne. On the call, a recording of which was leaked to the 'paper, he reportedly admits the regulator has raised concerns about its withdrawal charge, which starts as high as 6% for clients.
The MD also explains some officials at the Financial Conduct Authority believe SJP is "close to the edge" of the rules. The firm, however, says there are no rules against early withdrawal charges.
It appears PA's editor Tom Ellis's column is as relevant now as it was seven days ago: Tom Ellis: SJP revelations further place advice profession under spotlight
Approaching retirement but not state pensions age?
While the state pension will kick in at a certain point in everyone's life, one's actual retirement age can depend on personal and financial circumstances. This Daily Express article asks what someone who may wish to retire, but is unable to afford to before state pension age, should do.
Chartered wealth manager Warren Shute says there might be many reasons why someone's retirement provisions may be small and there may only be one option for those looking to fund retirement later in their life. "There's not much you can do other than work longer," Shute explains. "It's not necessarily the panacea of what people want to hear."
Younger generations are in a good position, he adds, because they have the chance to be "more prepared and aware" about the need to ensure funding for their retirement.
More mis-selling at St. James's Place firm accused of forgery
The Sunday Times published more than one story about SJP over the weekend and in this instance it was an article about one of its advisers accused of forging a signature and doctoring a letter. The story says the adviser in question has had another mis-selling case against him upheld after being found to have supplied incorrect documents for a second time.
Regency Financial Planning adviser Daniel Walton, part of SJP since 2012, gave incorrect advice to a couple in their 80s and supposedly issued them with information about the advice that did not match official SJP records.
This case comes after Walton was found to have misled a 19-year-old client in persuading her to transfer her savings to SJP. With regards to this client, Walton was accused of doctoring documents and forging her signature to conceal his actions from the Financial Ombudsman Service.
Our weekly heads-up for advisers
The Financial Services Compensation Scheme (FSCS) declared 11 adviser firms in default between 1 August and 31 October.