Butter or salt the popcorn: you need to watch this video.
Spoiler alert: it is from the FCA, and it is about defined benefit (DB) pension transfer advice.
In this video, the regulator explains to clients the advice process that should have been followed when they were given advice to transfer an occupational pension scheme.
Consumers are invited to review their experiences against the description provided, and are also given the contact details for the Financial Ombudsman Service if they are unsure as to whether the advice they received was suitable.
Clicking on the image above will take you to the video.
Regardless of whether you carry out DB transfer business or not, we are recommending that all the firms we work with watch this.
Well, while the video is aimed at consumers who've transferred their DB pension, the FCA does go into rather a lot of detail about a firm's advice process, and what the regulator expects from firms.
The points raised could equally apply to any advice process, on any piece of advice.
What is more, the FCA is explaining it in a language clients will understand.
There's nothing whatsoever for advisers to fear from this video, as they will likely already be following a robust advice process whether giving DB advice or not.
Yet in watching the video you should be better placed to:
- Answer any client questions
- Answer any questions from your professional indemnity insurer
- Answer any anticipated complaints.
It 's unlikely your clients will be searching for this video, but there will be plenty of claims management companies who will be doing their best to make sure it is top of people's playlists.
The video would also make a very good training guide for new advisers coming into your practice.
That's it. If it's a case of too long, didn't read, my message is short and sweet: watch the video!