Blog: Consolidators face understandable scrutiny from FCA

Consolidation is not going anywhere...

Jenna Towler
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Steve Hagues assesses the FCA's probe into IFA consolidators and says due diligence is all-important before deals are made...

Consolidation is a trend that is not set to abate with the increasing regulatory pressure and costs facing adviser firms and the struggle to be profitable over the longer-term. Businesses with this model have been able to access funding for their acquisition plans and so it is understandable that the Financial Conduct Authority (FCA) has stepped in to review that clients interests are not compromised by assessing the suitability practices of consolidators. We can be reassured that as this exercise is not a thematic review, it does not signal that there is an emerging problem that has ...

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