TISA’s response to amending the definition of financial advice
TISA, the investments and savings membership association, has welcomed the Government’s consultation into amending the definition of financial advice.
Charles McCready, Director at TISA said:
“TISA welcomes the FCA consultation on the definition of financial advice. We have worked closely with members as part of our response to Financial Advice Market Review (FAMR) and one of our key recommendations was to clearly define the distinction between advice and guidance to address the lack of understanding and confusion for consumers.
“There is currently a significant gap in the provision of guidance to the mass market, and greater clarification around advice would empower and motivate financial services to provide their customers with information that could help them both plan as well as make better informed financial decisions.
“The consultation is a good step in the right direction and opens the way to defining what should be included in a guidance framework and developing best practice that will help consumers make realistic plans for their financial future.
“Also there is a critical role for technology to play through greater use of online tools, particularly for information and guidance services, to help consumers understand how to better manage their finances. By having clarity on advice, it will encourage FinTech to develop new ways to save, which combined with Digital IDs will transform the way people manage their money today. In a modern world, it is important to find new ways to appeal to younger savers who have new perspectives and attitudes to savings. TISA has made good progress on developing a Digital ID for financial services and seeks to have a demonstrator ready for later in 2016.
“We look forward to HMT and the FCA continuing to work with industry in developing solutions that work for and benefit UK consumers.”
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For further information please contact:
Alistair Kellie – Telephone: 0207 680 6558 /Email: Alistair.Kellie@newgatecomms.com
Sara Neidle – Telephone: 020 7680 6543 / Email: Sara.Neidle@newgatecomms.com
Email: TISA@newgatecomms.com
Notes for Editors
TISA is a not-for-profit membership association operating within the financial services industry. The focus of our recommendations and actions is improved outcomes for consumers and UK plc with this approach leading to a stronger UK financial services industry.
TISA’s growing membership comprises over 150 firms involved in the supply and distribution of savings and investment products and services. These members represent many different sectors of the financial services industry, including asset managers, insurance companies, fund managers, distributors, building societies, investment managers, third party administrators, consultants and advisers, software providers, financial advisers, pension providers, banks and stockbrokers.
TISA has a successful track record in working cooperatively with government, regulators, HMT, DWP and HMRC to improve the performance of the industry and the outcomes for the public. Effective policy and regulation and the creation of efficient industry infrastructure continues to be the major focus for our members. TISA is unique in that it represents the entire financial services industry, incorporating cross-sector policy, industry and technical expertise. Whilst we maintain a solid partnership with government, the regulators and wider industry, we remain independent and develop neutral views and opinions. This impartiality is reflected in our ability to drive development projects which improve industry performance and consumer outcomes, putting us in the unique position of being able to constantly challenge the status quo to bring about material improvement.