Risks and opportunities from the 'death of the annual review'

Annual reviews are the primary mechanism through which firms demonstrate to both clients and the regulator that advice remains suitable, portfolios are aligned with client objectives, and ongoing fees are justified. As a result, they have become a central feature of both regulatory compliance and commercial models across the wealth market. The FCA has recently released a consultation on removing the expectation of such regular annual reviews, proposing a shift towards more flexible, client-driven servicing aligned to Consumer Duty and fair value requirements. Moving away from fixed re...