REGULATORY EXPERTISE
of proposals consulted on . This is significant as the FCA has taken note from the feedback and will revisit the challenge . Historically , FCA authorised firms , understandably , have been hesitant to provide help to consumers due to an overly cautious interpretation of the current regulatory framework , concerned about the regulatory requirements that apply if they provide a personal recommendation . The aim of the Advice guidance boundary will be to create a greater definition between advice and guidance . The FCA , however , in the interim have issued a reminder that not all support to a consumer constitutes a personal recommendation for example where the communication is purely information without expressing any opinion or value judgement on the relevance of that information to the customer ’ s investment decision . This extends to general advice not amounting to the regulated activity of advising on investments for example where a customer asks a firm about the difference between an ISA and a pension , a firm can explain their different features . The recently published Financial Lives survey is relevant as it emphasised that the majority are still not receiving formal advice . Whilst not everyone will always make investment decisions from a well-informed position , there is no doubt that a growing cohort of people can and should benefit from sound professional advice . The aim of the advice guidance boundary is to empower consumers to
invest with confidence , understanding the risks they are taking , and the regulatory protections provided . With the new boundary , the FCA does not want to restrict consumers if they want to invest , but it does want them to be able to access and identify investments that suit their circumstances and attitude to risk . Industry will be given the opportunity to feedback through this policy paper which will help inform and shape future policy developments , with the aim of developing more commercially viable propositions to broaden access to regulated financial advice . Given all of the information above , the regulatory horizon may seem daunting , especially with the requirements of the Consumer Duty now in place , but keeping informed of what ’ s happening next , and how it impacts you , will certainly give you an advantage for the rest of 2023 and beyond .
Keep updated with the changing landscape of regulation and policy through our Horizon Scanner , in the compliance area of the SimplyBiz and Compliance First websites .
Consultation paper FSCS REFORM
ADVICE GUIDANCE BOUNDARY REVIEW
Policy Paper
AR Regime Transitional Rules end
Final Rules 23rd Nov
Consultation paper
SUSTAINABILITY & INVESTMENT ADVICE
Final rules
SUSTAINABLE INVESTMENT LABELS
FCA report on findings
RETIREMENT INCOME REVIEW
Q3 Q4
Consultation paper
REVIEW OF CAPITAL ADEQUACY REQUIREMENTS
Implementation
BASELINE FINANCIAL RESOURCE RETURN
BSPS REDRESS STEP 2
CONSULTATION PAPER
FIRM PREPARATION TO BEGIN
IMPLEMENTATION OF FINAL RULES
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