FSA: Economy pushing consumers into wrong products

clock

The Financial Services Authority (FSA) has claimed one of the major risks to consumers over the next 18 months is that of being mis-sold unsuitable financial products.

In its latest Retail Conduct Risk Outlook, the FSA said consumers are struggling to cope with low interest rates and poor investment returns. As a result consumers are shopping around for products and so face the risk of "being sold unsuitable products; from products that are too risky for them to products they do not understand or that do not meet their individual circumstances", the FSA said. Martin Wheatley, FSA managing director, said: "Consumers rely on financial firms and their products to provide them with vital services; literally the means to run their lives. "They need to...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Investment

7IM's Ben Kumar: When behavioural biases are not all they seem

7IM's Ben Kumar: When behavioural biases are not all they seem

Investment identity more important

Ben Kumar
clock 02 July 2025 • 3 min read
Aegon AM launches UK-domiciled global income fund

Aegon AM launches UK-domiciled global income fund

In response to client demand

clock 27 June 2025 • 1 min read
CCLA's Charlotte Ryland and Joe Hawkes: How to position for the end of the 90-day tariff pause

CCLA's Charlotte Ryland and Joe Hawkes: How to position for the end of the 90-day tariff pause

Focus on quality

Charlotte Ryland and Joe Hawkes
clock 26 June 2025 • 4 min read
Trustpilot