PIMFA welcomes FCA’s move to strengthen financial promotions rules to protect consumers

19 January 2022

PIMFA welcomes FCA’s move to strengthen financial promotions rules to protect consumers

PIMFA, the trade association for wealth management, investment services and the investment and financial advice industry, today welcomes FCA’s move to strengthen financial promotions rules to protect consumers.

Simon Harrington, Senior Policy Adviser at PIMFA, commented:

“This is an important, thoughtful and, hopefully, impactful intervention from the FCA. Given the limits of the regulatory perimeter, it is absolutely vital that they, firms and consumers are able to draw comfort from a fit for purpose regime for the approval of financial promotions. Whilst we welcome the majority of these proposals, we are particularly happy to see increased focus on the appropriateness of the firm approving promotions, as well as assessments of their ongoing suitability.

“Whilst we have been largely supportive of the FCA’s ongoing work on this issue, and recognise its wider benefit, we do believe that it is important to state that, whilst high risk investments are by their nature ‘risky’, they are not necessarily bad investments. There is a clear role for them and, to that end, the clear focus on the consumer journey and tested positive frictions are particularly welcome.”

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NOTES TO EDITORS

About PIMFA – the Personal Investment Management & Financial Advice Association

• PIMFA is the trade association for firms that provide investment management, investment services and advice to everyone from individuals and families to charities, pension funds, trusts and companies.
• The sector currently looks after £1.65 trillion in private savings and investments and employs over 63,000 people.
• PIMFA represents both full and associate member firms. Full members provide a range of financial solutions including financial advice, portfolio management, as well as investment and execution services. They assist everyone from individuals and families to charities and pension funds, all the way to trusts and companies.  Associate members provide professional services to the PIMFA community.
• PIMFA leads the debate on policy and regulatory recommendations to ensure that the UK remains a global centre of excellence in the wealth management, investment advice and financial planning arena. Our mission is to create an optimal operating environment so that its member firms can focus on delivering the best service to clients, providing responsible stewardship for their long-term savings and investments.
• PIMFA has made numerous recommendations to the FCA regarding the Future of Advice, the Future of Supervision, & the FSCS levy – read more.
• PIMFA was created in 2017 as the outcome of a merger between the Association of Professional Financial Advisers (APFA) and the Wealth Management Association (WMA) with a history as a trade association since 1991 – read more.
• Further information can be found at pimfa.co.uk

Contact

For further information on this release or other press matters please contact:

• Matthew West, PIMFA PR Manager – MatthewW@pimfa.co.uk, +44 (0)20 7382 0376
• Sheena Gillett, PIMFA Communications & PR Director – sheenag@pimfa.co.uk, +44 (0)20 7011 9869 / +44 (0)7979 493225