Aifa: latest FSA paper 'muddled and confused'

Aifa director general Chris Cummings blasts last week's FSA review, which claims that advisers with more capital are less likely to mis-sell

Aifa's director general Chris Cummings has blasted last week's FSA paper on capital requirements for advisers as one of the least well-informed since the regulator began. According to the document, advisers with more capital resources are less likely to mis-sell. But Cummings declared the paper deeply muddled and confused and a further attempt to skew the market towards a bancassurer model. The review suggests increasing capital requirement would reduce the chance of mis-selling among personal inv-estment firms (PIFs), defined as companies that advise on and manage investments for retail...