Today’s paper was to contain much needed guidance and direction for platforms, advisers and product providers in the run-up to RDR’s implementation in 2013. However, issues this paper was supposed to be tackled seem to have been pushed back even further.
The FSA says it still wants to ban payments by product providers to platforms and cash rebates to consumers. “However, we accept that this could have unintended consequences. So, although this is our ultimate intention, we have not yet made rules to introduce a ban of either kind of payment. We plan to carry out further work on this.”
Among the issues resolved in the paper is the need for platforms to disclose to IFAs and clients any fees or commissions arrangements they have with groups. It is also allowing platforms to facilitate payment of adviser fees via cash account services and it plans to make re-registration of investments on platforms compulsory.
