11th November 2010

RDR View from the LSE???

The RDR debate continues to divide opinion, as we are only too aware. Citywire supports a positive view of RDR, which is of course their right and in line with the thinking of many advisers. However this was brought to our attention today. It is a comment on their forum, written by a stockbroker and gives an interesting insight into the feelings against RDR and the FSA on the floor of the London Stock Exchange. It is clear that indeed IFAs are not alone in the strength of feeling department.

CoeurDeLion87

Nov 10, 2010 at 14:29

I'm completely in agreement with the IFAs here on Citywire who are being affected by RDR and threatened closure by FSA. I'm a stockbroker and please believe me when I say that there are some very strong views on RDR and FSA on LSE too. Is it no wonder that both industries, that's the IFAs as well as stockbrokers & bespoke investment managers, are in crisis on this monstrosity. We no longer have a fair regulator; we have a dictatorial regulator threatening us. There are '000s of financial workers some who have valuable client banks who are being targeted by FSA and those with vested interests in grabbing more market share. This debate is NOT really about professionalism but about maintaining true independence. Many large organisations claim to be independent but in truth aren't. With many regulators having no practical PAST experience of dealing with the public the notion that these people can sit in their ivory towers pontificating to all and sundry is unjustified. The bar may be at Level 4 today but who's to say that the bar will not be raised further by these megalomaniacs in the future. Grandfathering is the only solution to garnering the support of the combined industry because without the experience of the experienced not too many pensioners will want to take advice from young qualified and yet professional personnel who have learned everything from a textbook. It's time for a rethink about who IFAs and private stockbrokers want to be regulated by. I don't think the trade bodies are assisting any of us by interfering in this way especially as there's very slim evidence to support the view that the UK public needs better protection from us which in itself is an insult to millions of people who already have commendable relationships with many effected by RDR. Another thing that is worrying is that many of us are now being labeled wealth managers when in reality we're bespoke managers and advisers with clients maintaining close and sometimes daily contact with us. Paul Killik was right when he said that FSA is trying to kill these relationships. This is another disturbing aspect of RDR. No doubt many will disagree with my viewpoint. That's healthy but FSA aren't allowing for any debate whatsoever which is frankly rather alarming and sad

FSA/FCA, RDR