Neil Liversidge: Why I'm saying 'no' to the FCA and client segmentation

'Every client is unique'

clock • 2 min read

Neil Liversidge is putting his head above the parapet on client segmentation. Here he explains why his firm doesn't place clients into FCA-mandated 'pigeonholes' despite being told that's exactly what advisers need to do...

Have you categorised your clients? A few years ago we were told that the Financial Conduct Authority (FCA) was keen that firms should categorise clients, using labels such as ‘young accumulators' and ‘retired decumulators' as part of its 'PROD' rules. This was pushed heavily at various industry seminars by ex-FCA luminaries such as Rory Percival. We always take heed of our regulator's strictures, so we gave the idea some serious thought. We filled several recycling bags with ideas as to how we should do it. Whatever categories we came up with, we found that we had a multitude of ot...

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