FCA moves to create simplified financial advice regime

Stop advice from being 'too costly'

The Financial Conduct Authority (FCA) wants to establish a simplified advice regime focused on a limited range of mainstream investments to allow firms to offer services at cheaper rates.

The regime would be separate from the current regulated advice sphere and could allow fees to be paid in instalments, so clients are not burdened with large upfront bills, the regulator said. The FCA opened a consultation, CP22/24, on the options today (30 November). The paper asked for responses to proposals such as streamlining the client fact find process so advice is "more straightforward for both firms and customers". It also said the range of investments covered by the regime would be limited - for example, covering stocks and shares ISAs - explaining this meant advice would be ...