Standard Life Wealth: FSA must go further on DFM transparency

The FSA should go further in its DFM transparency drive and oblige discretionaries to publish total expense ratios for their portfolios, according to David Tiller, director of strategy & business development at Standard Life Wealth.

The FSA said earlier this month it is proposing to ban kick-back payments from DFMs to advisers for recommending their services, a development Tiller said is a “welcome clarification”. The regulator added advisers will still be able to receive referral fees from discretionaries in cases where an adviser firm recommends to a DFM a client with whom it has no investment advice relationship, although this too is up for consultation. Tiller (pictured) said the FSA is intent on making clarity of payments “crystal clear” but called for more to be done on charging transparency. “We have ne...