Speaking at the Association of Private Client Investment Manager and Stockbrokers (APCIMS) compliance conference yesterday, director of supervision Clive Adamson said this would hopefully go live on 15 July.
The wealth management and private banking sector employs over 120,000 individuals and has over £2 trillion in assets under management.
Mr Adamson said: "We are in the final stages of setting up a Wealth Management and Private Banking Department at the FCA in order to provide an area of expertise for this important sector.
"In time, we will also conduct further thematic work in this space. But pending that and given the complexities of the businesses operating within this industry, we believe that firms should focus on a number of key areas."
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The FCA says these areas firms need to focus on are :
- Considering oversight arrangements to ensure they are suitable for the nature and complexity of firms in question
- Keeping up-to-date consumer information to ensure individual portfolios remain suitable for the customer.
- Identifying and managing conflicts of interest.
- Delivering the services customers signed up for and agreeing upfront the exact nature of the service and how it will be paid.
- Ensuring customers' wealth is legitimately acquired.
- Ensuring portfolios are consistent with customer objectives.
- Clearly set out their periodic reports with appropriate benchmarks and adequately disclose the relevant fees.
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