FCA Takes Aim At Wealth Managers Over High-risk And High-fee Products

The Financial Conduct Authority has slammed wealth management and stockbroking firms over practices that the regulator claims have resulted in harm for consumers.

In a 'Dear CEO letter' published today (8 November), the regulator said some companies have lost consumers "significant sums" to scams and fraud, and have also played a role in enabling money laundering. The FCA added that some firms have also exposed consumers to "inappropriately high-risk investments" and provided poor value for products and services. It highlighted the scale of the sector within the consumer space, with 1.8 million portfolios and 14.3 million stockbroking accounts currently active. Bank of England and FCA outline plans to regulate stablecoins into mainstream ...

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