FCA has published its portfolio supervision letter to the wealth management and stockbroking portfolio. The letter focuses on FCA’s plans for the Consumer Duty and what it would mean for firms. It also notes the importance of diversity within firms and praises work done to date in the sector.
Overall, FCA’s view of key harms within the sector stems from:
- fraud, investment scams and market abuse;
- financial resilience and disorderly firm failure;
- costs and charges; and
- effects of Brexit