Bringing you live news and features since 2006 

Survey

Two thirds of advisers to carry out extra due diligence post FCA platform paper

RELATED TOPICS​

Approximately two-thirds of advisers say they will carry out further platform due diligence following the FCA’s paper PS13/1, according to a Skandia survey.

Of those, 44 per cent say this work is already well under way. Only 13 per cent of advisers ruled out further due diligence work this year.
 
Some 43 per cent of advisers identified charges as the most important area to consider when conducting platform due diligence. Second is platform functionality, identified by 16 per cent of advisers, and third is the reputation and financial standing of the platform itself (13 per cent). 
 
Areas deemed to be of less critical importance to advisers include range of funds (seven per cent), range of asset classes (four per cent), accessibility (one per cent) and additional tools (one per cent).
 
The FCA platform paper PS13/1 has raised the bar with regard to advisers due diligence obligations. From April 2014, advisers will be required to satisfy themselves that a platform service provider has met the requirements set out within the paper, and does not present its products with any bias.
 
Michael Barrett, platform marketing manager at Skandia, says: “There is now an increased onus on advisers to assess platform capabilities as a result of the recent platform paper. Despite the requirements of PS13/1 not coming into play until next year, it is already clear that advisers are including this now in any due diligence assessments being made, in addition to the nine factors the FCA already require to be considered.
 
“The good news is that there are a number of external tools and consultancy services available to advisers to help them with the task.
 
“Skandia addressed the key due diligence points in December 2012 as part of the launch of our unbundled platform. All new business is written in a manner which is compliant today, 2014 and 2016.”

Latest News

ETF data consultant ETFGI reports that assets invested in the global ETF industry reached a new record of USD12.71 trillion..
Calastone has published an ETF white paper which examines several of the processes that take place across the lifecycle of..
Adapting product lines to fit into changing methodologies and meet shifting demand is essential to remaining relevant in the industry..
Investors urgently need greater access to diversified investment strategies aligned with the Paris Agreement on climate change if the world..

Related Articles

Taylor Krystkowiak, Themes ETFs
Themes ETFs opened its doors in December 2023, with an introductory suite of 11 ETFs – seven thematic and four...
Konrad Sippel, Solactive
At the end of March, financial index specialist, Solactive, published its 2024 annual report on future trends.  ...
Lorraine Sereyjol-Garros, BNP Paribas
Following changes to the French Monetary and Financial Code and of the French market authority AMF’s General Regulation, it is...
Ed Rosenberg, Texas Capital
Texas Capital Bank first opened its doors back in December 1998 and nowadays offers wealth-management services, as well as commercial,...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by