How can wealth managers do more to meet suitability requirements?

Amir Hakim, head of wealth solutions at JHC, argues wealth managers need to look at suitability checks as an obligation to their clients, rather than leaving the process to the regulator.

Last December, the Financial Conduct Authority (FCA) focused its thematic review on the wealth management sector and found that 60% of wealth managers' portfolios fell substantially short of expectations in meeting its suitability standards. As a result, the FCA has planned to visit a number of wealth managers later this year to assess the industry's progress in terms of suitability standards. With this crackdown in place, it is vital that wealth management firms are taking the necessary steps to improve the suitability of their customers' investment portfolios. FCA's suitability p...