Poor quality of advice in respect of defined benefit pensions made the headlines last year following a raft of issues associated with members of the British Steel Pension Scheme. Newly published rules from the Financial Conduct Authority (FCA) are designed to improve the quality of pension transfer advice. The rules follow a consultation and are aimed to improving the advice people receive when they consider transferring their defined benefits. In a policy statement, the FCA confirmed it is taking forward most of its earlier proposals from March 2018. These proposals mainly related to transfers from defined benefit pension schemes to defined contribution or personal pension schemes.
New rules designed to improve the quality of pension transfer advice
This 758 word blog post covers the new FCA rules on defined benefit pension transfer advice, including a requirement for pension transfer specialists to hold a specific investment qualification and the decision not to ban contingent charging. Written on 6th October 2018.