Financial Advisor articles from July 2009

Financial Advisor archives from July 2009

Ruling highlights need of sales tactics probe.
July 2, 2009... Byline: David Pawsey Barclays Bank's approach to switching clients from one product to another should be probed following a Financial Ombudsman Service provisional ruling against the banking giant, according to an IFA. Robert Johnsey,...

Protection sales plummet 15% in eight years.
July 2, 2009... Byline: David Pawsey Protection sales have fallen dramatically since 2000, according to the 2009 Protection Review. Speaking at the 2009 Protection Review conference this morning (25 June), which is described as the definitive annual...

Lenders play it safe by sticking to low LTVs.
July 2, 2009... Byline: Joy Dunbar Credit rating agencies and the FSA's stress-tests are putting lenders off offering high loan-to-value mortgages, according to the Building Societies Association. Adrian Coles, director general of the BSA, told the...

Tripartite turf wars to carry on until elections: FSA.
July 2, 2009... Byline: David Pawsey Responsibility for macro-prudential regulation will not be decided until an election has been held, according to the FSA. During the British Bankers' Association international annual conference Angela Knight,...

Sesame to takeover PMS and Bankhall brands.
July 2, 2009... Byline: Catherine Couch Sesame has confirmed both the Bankhall and PMS brands would survive if it made a binding offer for the two businesses to current owner Skandia, Ivan Martin, executive chairman of Sesame, has confirmed. On...

Walter Merricks to stand down from FOS.
July 2, 2009... Byline: Emma Ann Hughes Walter Merricks, chief ombudsman at the Financial Ombudsman Service, is stepping down after 10 years in the post. Mr Merricks plans to leave the ombudsman service in the autumn to become the first chair of the...

Appearances matter.
July 2, 2009... Byline: Hal Austin Comment Why is the chancellor, obviously pressured by Treasury mandarins, allowing himself to be used in an old turf war with the Bank of England, and at the same time allowing an obviously dysfunctional and...

Best and brightest.
July 2, 2009... Byline: Hal Austin Comment Here is an idea. You are familiar with the talk about fat-cat bankers and the huge salaries and benefits they enjoy, and the counter-argument that if we in Britain want to attract the best and brightest we...

On the right track.
July 2, 2009... Byline: Phil McGovern The FSA's paper has put forth solid recommendations that once again await the industry's feedback Just like the words from that Abba musical, "Mamma Mia, here I go again", the retail distribution review came...

EU sees unfair Rock break-up.
July 2, 2009... Byline: David Pawsey Northern Rock could be in breach of European Commission state aid rules if it goes ahead with its plans to split the bank into two parts, according to documents published last week. In a 17-page letter sent to...

Factoring ban tough on regular premiums.
July 2, 2009... Byline: Catherine Couch The ban on factoring presents a serious threat to the regular premium savings industry, Zurich has warned. In the FSA's latest retail distribution review paper, the regulator banned providers from advancing...

Towry Law to double in size with acquisition of firms.
July 2, 2009... Byline: Catherine Couch & Gemma Westacott Towry Law is planning to double in size in the course of the next 18 months by snapping up IFA firms whose bosses are exiting the industry rather than meet the retail distribution review's...

Regulator's RDR sums come under fire.
July 2, 2009... Byline: Catherine Couch The Financial Services Authority's (FSA's) ability to do its sums has been called into question by experts studying its cost and benefit analysis of the Retail Distribution Review (RDR) measures. In an addition...

Protection mis-selling wil be real threat after RDR.
July 2, 2009... Byline: David Pawsey Mis-selling of protection products could be an unintended consequence of the retail distribution review, the Association of British Insurers has warned. During a panel debate held at the 2009 Protection Review...

Reading glasses.
July 2, 2009... Byline: Philip Ryley The Adam Smith Institute published a paper by Tim Ambler and Keith Boyfield entitled Regulatory Myopia - A Response to FSA DP09/2. The paper comments on the Turner Review and DP09/2 in just 18 pages and makes some...

Get your cheque books out guys.
July 2, 2009... Byline: David Haig Letter to the Editor; Letter of the week The letter of the week on 25 June from David Barnett, among other good points, states that "The FSA needs to put its own house in order first, before changing the rules over...

The sooner we have a general election the better.
July 2, 2009... Byline: Christopher Taylor Letter to the Editor It is well reported that the Conservative Party is vehemently opposed to home information packs. The other central tenet of its housing policy is to abolish stamp duty on house purchases...

FSA warns advisers to get started on meeting RDR requirements.
July 2, 2009... Byline: Emma Ann Hughes The FSA is confident that three-and-a-half years is long enough for advisers and providers to meet the retail distribution review requirements. At the start of this year, the Association of British Insurers...

Brave new world awaits distribution sector - Pacific Life Re.
July 2, 2009... Byline: David Pawsey Distribution could be the biggest challenge the protection industry faces in a post-retail distribution review world, according to Pacific Life Re. Speaking at the 2009 Protection Review conference, held in London...

Uncertainty is pushing up sales of personal insurance - survey.
July 2, 2009... Byline: David Pawsey Nearly two-thirds of advisers say personal insurance is becoming a higher priority a result of economic uncertainty today, according to the 2009 Protection Review. In a survey of Personal Finance Society advisers...

RDR flash quotes.
July 2, 2009... Byline: Emma Ann Hughes What industry experts had to say about Delivering the Retail Distribution Review Francis McGee, head of corporate affairs for Aegon UK, said: "Adviser charging should bring more consumer clarity on the cost of...

It's all up to the consumers.
July 2, 2009... Byline: Tony Hazell The FSA has been warned that yet again that it is failing in its duty to consumers. The warning, from the Financial Services Consumer Panel, is a response to the FSA's discussion paper, Consumer Responsibility. The...

Consumers may be misled by structured products - report.
July 2, 2009... Byline: David Pawsey Consumers are potentially being misled about the risks of structured product, according to Which? Money. The consumer organisation has warned that such investments are not always as safe as they may seem and can...

Insight finds room for ethical investing.
July 2, 2009... Byline: David Pawsey Social and economically responsible investment is to play a larger part in the multi-asset team's return and risk strategy at Insight Investment, according to Steve Waddington. Mr Waddington, manager for the...

FSA sees clear path ahead for European regulation.
July 2, 2009... Byline: Emma Ann Hughes & Catherine Couch The European financial services regulatory framework is evolving quickly and the case for a pan-European approach is clear, according to the FSA. Dan Waters, asset management sector leader of...

Dealing with workplace stress.
July 2, 2009... Byline: Peter Done The best way to deal with stress in the workplace is to nip it in the bud early, and for management to develop a strong relationship with employees Q: Stress is proving to be a recurring issue for my business and we...

Rise and fall.
July 2, 2009... Byline: Paul Winter As IFAs head deeper into the recession they will need good leadership and management. The FSA has admitted its light touch approach to regulation was key to the rapid growth in the independent financial services...

FSA nets GBP27m through penalties.
July 2, 2009... Byline: Emma Ann Hughes FSA fines soared to GBP27.3m during the 2008 to 2009 year, compared with GBP4.4m in the previous 12 months. In the FSA's 124-page annual report, the regulator reported its statistics for 2008 to 2009 reflected...

A huge step in the right direction.
July 2, 2009... Byline: Kevin Carr Finally some good news. A report by the Fos has highlighted that just three per cent of complaints made to the ombudsman were against IFAs, and problem areas are being ironed out by the industry Complaints about...

Global village.
July 2, 2009... Byline: Alex H Rene and Sarah Thomas Plans for a reform of the US financial regulation model may seem familiar to those across the pond By announcing proposals for a significant package of reform to improve the framework and policies...

SII warns of over-regulation dangers.
July 2, 2009... Byline: David Pawsey Tougher regulation could drive investment companies out of the UK, the Securities & Investment Institute has warned. In response to the FSA's discussion paper Regulatory Response to the Global Banking Crisis, the...

New boys enter into Sipp and Ssas arena.
July 2, 2009... Byline: Emma Ann Hughes A new Sipp and Ssas provider promises to take on more established rivals by offering full investment flexibility at one of the lowest prices in the market. Rupert Curtis, an actuary, and pensions specialist...

Teresa Sayers to stand down from helm of FSSC.
July 2, 2009... Byline: Emma Ann Hughes Teresa Sayers, chief executive of the Financial Services Skills Council (FSSC), is stepping down at the end of September "to pursue other interests". Last month (June) the FSSC was told its licence would only be...

Sesame confirms talks to acquire Bankhall and PMS.
July 2, 2009... Byline: Catherine Couch & Gemma Westacott Sesame has confirmed it is in discussions with Skandia UK about the acquisition of Bankhall and PMS. If given the go-ahead, the merger would create the UK's largest appointed representative...

BoE's Tucker stresses need for info from banks in distress.
July 2, 2009... Byline: David Pawsey Banks need to structure themselves so that an orderly resolution can be executed if required, according to the Bank of England (BoE). Speaking at the British Bankers' Association (BBA) International Banking...

Societies' mortgage lending stabilises, but at low levels.
July 2, 2009... Byline: Anya Diaz-Cebreiro Gross mortgage lending by building societies stabilised in May, but at extremely low and depressed levels that were 57 per cent less than a year ago. According to the Building Societies Association (BSA),...

RDR update: Just two categories of adviser.
July 2, 2009... Byline: Emma Ann Hughes There will be two categories of adviser - restricted or independent - from 2012 onwards, according to the Financial Services Authority's (FSA's) latest Retail Distribution Review (RDR) paper. The regulator has...

RDR is the "end of commission as we know it": FSA's Waters.
July 2, 2009... Byline: Emma Ann Hughes This is the "end of commission as we know it", according to Dan Waters, director of retail policy and conduct risk of the Financial Services Authority (FSA). In an interview with Financial Adviser, Waters, who...

RDR update: Cost to firms estimated at GBP430m.
July 2, 2009... Byline: Emma Ann Hughes The one-off cost to firms of complying with the Retail Distribution Review (RDR) will total about GBP430m, with a further GBP40m annual bill for the industry moving forwards, the Financial Services Authority (FSA)...

Just Retirement in takeover talks with Avalon.
July 2, 2009... Byline: Emma Ann Hughes Just Retirement looks set to be bought by Avalon Acquisitions Limited, a company formed by funds advised by Permira Advisers, for about 76p per share. Earlier today (26 June), Just Retirement announced it had...

RDR update: FSA to review use of platforms.
July 2, 2009... Byline: Emma Ann Hughes The Financial Services Authority (FSA) has asked for feedback on whether it should shake-up up the way it regulates wraps and fund supermarkets. In its latest Retail Distribution Review (RDR) paper, the watchdog...

RDR to allow more advisers to call themselves 'independent'.
July 2, 2009... Byline: Emma Ann Hughes More advisers should still be able to call themselves independent under the latest Retail Distribution Review (RDR) proposals, according to the Financial Services Authority (FSA's) latest paper. The 165-page...

RDR update: Commission brought to an end.
July 2, 2009... Byline: Emma Ann Hughes Adviser firms should only be paid by charges set out up-front and agreed with clients rather than by commissions, the latest Retail Distribution Review (RDR) paper proposes. Regardless of whether adviser charges...

RDR update: Grandfathering ruled out.
July 2, 2009... Byline: Emma Ann Hughes Grandfathering to the new minimum qualification requirements for offering investment advice has been ruled out in the Financial Services Authority's (FSA's) latest Retail Distribution Review (RDR) paper. The...

RDR update: Trade bodies react favourably.
July 2, 2009... Byline: Emma Ann Hughes The Financial Services Authority's (FSA's) latest Retail Distribution Review (RDR) consultation paper represents a major step to a more professional financial advice market, according to the Personal Finance Society...

RDR update: Commission ban leads to new provider responsibilities.
July 2, 2009... Byline: Emma Ann Hughes To bring an end to commission, the Financial Services Authority (FSA) is proposing new responsibilities being placed on product providers. As part of its latest Retail Distribution Review (RDR) paper the FSA...

CII updates its CPD policies.
July 2, 2009... Byline: Dominic Welling The Chartered Insurance Institute has begun a review of Continual Professional Development policy, in an attempt to raise standards and build trust across the sector. The CII has launched the review of CPD to...

Asian equities will exceed expectations - Threadneedle.
July 2, 2009... Byline: Emma Ann Hughes & Catherine Couch Loose monetary policy and aggressive fiscal policy have ensured Asian economic growth will be greater than initially expected, according to Threadneedle. Jan de Bruijn, manager of Threadneedle...

Bluefin places trusts in Truth.
July 2, 2009... Byline: Emma Ann Hughes Bluefin has chosen Truth, Prestwood's financial planning software product, to be used across its wealth management division. Prestwood Financial Services was set up in 1975 by Paul Etheridge, the founder of the...

SFO busts high-yield investment fraudster.
July 2, 2009... Byline: David Pawsey Financial advisers who spotted erroneous details in financial documents have assisted in a fraudster being jailed for six years. In what the Serious Fraud Office described as "a classic case of a high-yield...

FSCP rejects concept of 'consumer responsibility'.
July 2, 2009... Byline: David Pawsey Attempts by the FSA to articulate consumer responsibilities in financial services are "unrealistic" and should be abandoned, according to the Financial Services Consumer Panel. The independent panel has called...

Skills gap delays recovery.
July 2, 2009... Byline: Dominic Welling The Confederation of British Industry has warned that shortage of skills in the business arena could hamper London's economic recovery, as firms struggle to find the right talent to match jobs. A quarter of...

L&G sees business protection gap of GBP1.1 trillion.
July 2, 2009... Byline: Dominic Welling Very few businesses have sufficient protection in place to cover an event such as the death or critical illness of a key person, according to research from Legal & General. The research found that the...

L&GII teams up with HSBC to offer index-linked bond.
July 2, 2009... Byline: Dominic Welling With savers concerned about declining interest rates, Legal & General International (Ireland) has joined forces with HSBC to provide a series of structured deposits, to offer customers potentially better returns...

Sesame pilots CII personal tax study programme.
July 2, 2009... Byline: David Pawsey Sesame is aiming to help improve the the chances of advisers studying for the Chartered Insurance Institute's (CII's) personal tax exam. The network is piloting a study programme to support intermediaries ahead of...