Regulation 

Sense to examine platform due diligence

Sense to examine platform due diligence

Sense Network has launched platform due diligence week for its members following the Financial Conduct Authority’s scrutiny of this issue.

In February the FCA published a thematic review into the due diligence carried out by financial advice firms.

The review found some firms were putting the service they get from platforms above the service their clients get when considering which fund supermarket to opt for.

Tim Newman, managing director of Sense, said this, combined with changes in the platform market, meant there is a need for advisers to keep up to date on the selection process for fund supermarkets.

The week, which starts on 18 July, will comprise a series of 14 webinars from leading platform providers, which will be broadcast live and will count towards CPD requirements.

Novia, Aviva, Cofunds, Parmenion and Transact are taking part.

Alongside the webinars Sense will be publishing updated, in-depth information on each of the platforms, together with guidance on undertaking platform due diligence.

Billy Mackay, marketing director at AJ Bell which is also taking part, said: “Platform due diligence is front and centre at the moment for both advisers and the regulator.

“It’s absolutely critical that advisers are able to get to the detail to allow them to make informed decisions on behalf of their clients.

“It is also crucial that they are able to challenge platforms on an on-going basis to ensure that the decisions they make remain appropriate in future.”

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