Phoenixing: FCA may use deed polls to ensure firms' past liabilities met

FCA portfolio strategy letter for financial advisers and intermediaries

Ayesha Venkataraman
clock • 3 min read

The Financial Conduct Authority (FCA) laid out the possible actions it may take against firms unable to meet their liabilities and accountable individuals seeking to phoenix to another firm in its latest Dear CEO letter.

In the letter, published on Friday (2 December), the regulator highlighted its expectations from firms with regard to firm failure and phoenixing. It said that the firms should ensure they have sufficient financial protection against unsuitable advice claims. It added that it would continue its work to review the prudential regime for non-Markets in Financial Instruments Directive investment advisers and planned to set out further details on this next year. "Where firms are unable to meet their liabilities and accountable individuals seek to phoenix to another firm, we seriously quest...

To continue reading this article...

Join Professional Adviser

  • 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 Regulation

FCA warns advisers over 'misleading' British Steel redress offers

FCA warns advisers over 'misleading' British Steel redress offers

‘Wholly unacceptable and constitutes serious malpractice’

Laura Miller
clock 26 January 2023 • 3 min read
FCA: Focus areas for firms implementing Consumer Duty

FCA: Focus areas for firms implementing Consumer Duty

‘We recognise that some firms need to make significant changes’

Ayesha Venkataraman
clock 25 January 2023 • 4 min read
FSCS names three advice firms in default over pension transfers

FSCS names three advice firms in default over pension transfers

Two out of three failed firms linked to British Steel transfers

Ayesha Venkataraman
clock 20 January 2023 • 3 min read