Banks and financial advisers have not made RDR information fees clear to clients, according to the views of Malcom Kerr, an executive director at Ernst & Young.
According to risk.net, Kerr notes:
“The Association of British Insurers and the Financial Services Authority have published RDR information but it seems only a small percentage of advisers have issued anything. Banks and other advisers must ensure they explain services and fees to potential and existing clients at the earliest opportunity using a ‘key facts’ document or equivalent.”
He added:
“We suspect that maybe 50% of advisers have not developed and documented clear and compelling fee-based advice propositions.”
