Ascentric backs ‘agent as client’ principle
More on UK Regulation
- Sipp liability in balance as Ombudsmen talks continue
- Keydata boss says lawyer will ‘pay the price’ for loan saga
- Public should take part in enforcement: FCA committee head
In focus: Outsourcing Investments
Mike Morrow, sales and marketing director for the wrap, welcomed confirmation from the City watchdog that three-way agreements between discretionary managers, advisers and clients were unnecessary.
He said: “The agent as client principle is an established old legal principle. We have always chosen to use this. The agent has always been the intermediary. This means the adviser does not require any extra permissions.
“It is an established way of providing this service.”
The FSA guidance said when an advisory firm appoints a discretionary manager and deals directly with them, the adviser becomes a client of the discretionary manager.