RDR

Customer Agreed Remuneration (CAR) must be exempt from VAT if it is to succeed, Skandia warns.

The life insurance industry will self-destruct in the next five years unless it backs the Retail Distribution Review's (RDR) core aims of putting the customer first, warns Winterthur Wealth Management.

AIFA has called on the European Commission (EC) to abandon plans to undertake its own style of RDR for at least five years.

Compliance costs could be around £10m per year if all today's IFAs adopt the customer agreed remuneration models (CAR) likely to be a key part of RDR proposals.

Tenet, the IFA network, says it is benefiting from advisers' fears of increased regulation following the RDR with new business up 30% last year.

The current strength of the retail investment market can largely be attributed to those firms that operate on an agreed fee basis, the Securities and Investment Institute (SII) argues.

The Association of IFAs (AIFA) today slams the FSA for ‘inferring' low capital directly influences a firm's behaviour and leads to a higher risk of mis-selling.

The British Bankers' Association (BBA) has called on the FSA to introduce a new ‘assisted purchase' distribution category as part of its response to the Retail Distribution Review (RDR).

Consumers do not consider the issue of an adviser's ‘independence' key to their decision to seek financial guidance from them, research suggests.

The Association of Mortgage Intermediaries (AMI) today warns a "read-across" of the RDR to the mortgage market without proper consultation could be dangerous for the industry.