Fraser Donaldson: Two-dimensional risk assessment

We should all be familiar with the then FSA's final guidance paper from July 2012, Assessing suitability: Replacement business and centralised investment propositions (FG12/16). When recommending new or replacement business to a client, the principles to adopt are that recommendations should be in the best interests of the client and the client should be treated fairly. Areas of concern at this time were: the firm's central investment proposition (CIP) be designed to meet the needs and objectives of its target clients; the firm's sales process be designed to ensure a CIP is only recommen...