The FCA has published a further warning to firms on the issue of advising on pension transfers or switches with a view to investing pension monies into unregulated products through a self-invested personal pension (SIPP).
The FCA has issued the warning as following the FSA’s initial warning in 2013, it has carried out further supervisory work and continued to identify serious and on-going failings in firms. The warning:
- sets out the FCA’s view on firms advising on SIPPs;
- explains what this means for firms;
- provides examples of failings the FCA has identified;
- encourages firms to be open and honest with their insurers with regard to their business model, and ensure that they have adequate professional indemnity insurance cover in place;
- reminds firms to ensure that they have robust and compliant advisory processes in place to ensure that they meet the FCA’s requirements; and
- states that it anticipates that further firms, and their senior management, will be referred to the FCA’s enforcement division.
View Pension transfers or switches with a view to investing pension monies into unregulated products through SIPPs – further alert, 28 April 2014
View FCA Final Notice 2014: Timothy Adrian Hughes, 17 April 2014
View FCA Final Notice 2014: Andrew Charles Rees, 17 April 2014