A primary focus for Pimfa and its members is around diversity and inclusion, according to chief executive Liz Field.
Speaking to FTAdviser, Field said it was important to take a moment to reflect on the progress made in the face of challenging times as we approach the end of a “turbulent 2022”.
“We started our year in the thick of Covid variants followed swiftly by the start of the Ukraine war,” she said. “Both have been rightly the subject of significant political focus.
“The economic crime bill was rushed through, with a second coming later in the year and sanctions against Russia took centre stage. We were, of course, discussing the challenges advisers faced in this regard and subsequently providing guidance to firms.”
The cost of living crisis emerged thereafter, particularly with the impact of the war on energy bills and the food supply chain.
“Clients remain reliant on advisers to help navigate this turbulent period and series of choices they need to make,” she said.
“The pandemic also taught us all that we can work differently through the use of technology and we have seen a marked acceleration of this.
“Clients also want greater access to markets and more flexibility and this will require new tools to service this.”
This led Pimfa to launch the WealthTech platform, which Field said “acts as primary source for market intelligence on the latest technologies and trends” impacting the industry.
However, she noted: “One of the key issues for member firms remains diversity and inclusion and it is a major priority for Pimfa.
“In October Pimfa held our second annual diversity and inclusion awards, which attracted a huge number of superb entries highlighting D&I initiatives that demonstrated the excellence and best practice currently at work within our industry.”
This month, Pimfa also launched a campaign to encourage more people from diverse backgrounds into the wealth management and financial advice sectors.
The trade association’s ‘make it’ campaign was launched to “dispel negative perceptions around the industry”, which Pimfa said can have a significant impact on the ability of firms to attract the most talented candidates.
Pimfa has described the campaign as a “bold call to action for new talent from all kinds of backgrounds, to come in and shape old traditions into something better”.
Field added: “We will be launching further initiatives in this space in the year to come so watch this space.”
Another of Pimfa’s leading priorities this year has been access to advice which led it to propose a simplified advice model mid-year in its policy paper: “Up on the Ladder”, Field said.
“[This] was well received by both the Financial Conduct Authority (FCA) and government – so much so that the FCA has recently put forward proposals of its own.
“We are continuing our work on the advice/guidance boundary, aiming to bring a larger section of society within the scope of financial advice professionals. We look forward to further progress on this in the year to come.”
The FCA first announced it was looking at transforming is the advice and guidance rules in a speech by the FCA’s executive director Sarah Pritchard in September.
At the time, industry members welcomed the regulator’s review of the advice-guidance boundaries and urged for it to “push forward at pace”.
Field said: “For several years now we have been advocating for a change of direction in the size of the Financial Services Compensation Scheme (FSCS) levy, so we were very pleased to see the levy forecast for 2023/34, which represents a significant reduction compared with previous years.
“That said, we will continue our efforts to get it reduced further, so that it makes an impact to firms in real terms and it has been good to see the review announced by the FCA in last remaining weeks before Christmas.
“As ever we will examine the details and work with the regulator to ensure the best outcome for our members and consumers.”
Looking ahead, Field said the consumer duty will continue to be at the forefront of many firms’ minds and will maintain support for members with regular working groups.
“The consumer duty may require firms to make lasting changes to their culture and behaviour to consistently deliver good outcomes to clients,” she said.
“We will also be holding a conference dedicated entirely to this topic in January.”
Elsewhere, she said the financial services and markets bill will also continue its progress through parliament, enacting the government’s future regulatory framework.
“This long-awaited and critical piece of legislation gives the UK the opportunity to create a more competitive financial services sector post-Brexit, while preserving high regulatory standards more tailored to the UK’s needs,” she added.
sonia.rach@ft.com
What do you think about the issues raised by this story? Email us on FTAletters@ft.com to let us know
