FSA

A key piece of research used by the FSA to justify new professionalism standards is based on a decade-old study of fund managers, IFAonline has learned.

The Plain English Campaign (PEC) has been fighting gobbledygook, jargon and misleading public information since 1979. Judging by last week's RDR professionalism paper it still has work to do at the FSA.

The FSA has reiterated qualifications gap-fill should be structured CPD, but it says reading 'suitable material' is acceptable where it is not available for specific knowledge gaps.

The Chartered Institute for Securities & Investment (CISI) will apply to become an accredited body under the FSA's new professionalism regime.

The FSA says advisers no longer have to spend a minimum of one hour on structured CPD activities - it will permit 30 minutes instead.

The FSA has assembled a small team to process warning ‘alerts' from firms about their individual advisers as it pushes ahead with its data and supervision plans.

The FSA's refusal to extend the timetable for meeting its professionalism rules, published today, hands a competitive advantage to large firms and banks, says Harriett Baldwin MP.

The FSA admits it is "possible" some of the costs of its professionalism requirements will be passed on to consumers, as it estimates the total one-off charge to advisers of meeting the rules could hit £225m.

The FSA is planning to launch a database to identify "high risk" advisers as it presses ahead with plans to monitor individuals through data collection.

FSA accredited bodies will be allowed to continue checking a sample of just 10% of advisers' CPD to verify standards of professionalism.