The Personal Finance Society (PFS) has published a good practice guide for financial advice firms setting out the Financial Conduct Authority’s (FCA) Consumer Duty expectations in support of the watchdog’s flagship regulatory reform.
The new Consumer Duty, which started with a campaign by the Financial Services Consumer Panel to create a statutory ‘duty of care' in 2017, appears at several levels in the regulator's handbook, according to the PFS. The professional body explained that at the highest level, the FCA summed it up in a new principle, elaborated in cross-cutting obligations: ‘A firm must act to deliver good outcomes for retail customers.' Instead of introducing new rules, the Consumer Duty listed four outcomes, against which firms should judge their impact on consumers. Price and value: covers el...
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