Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

The FCA warns on unregulated firms offering free Budget advice

The FCA warns on unregulated firms offering free Budget advice

The Financial Conduct Authority (FCA) has issued a warning about unregulated firms offering free Budget advice.

The regulator said it had evidence that a number of firms have been contacting consumers by phone, email and text offering free pension reviews in light of the Budget changes to annuitisation.

Some of the companies have been falsely claiming to represent the FCA or the government and the majority offer to achieve better returns by moving individuals into self-invested personal pensions (Sipp) or small self-administered schemes (Ssas). These typically invest in unregulated investments, such as overseas property, forestry or storage units.

The FCA’s warning follows the Financial Ombudsman Service revealing earlier this week that Sipp complaints rose by 50% in the 12 months to the end of March.

Tracey McDermott (pictured), director of enforcement and financial crime at the FCA, said: ‘People should be very wary if they are contacted out of the blue by someone offering a ‘free pension review’. Most of the companies offering this ‘service’ are not authorised by us, and we’re concerned that the reviews often end with pension pots placed in higher-risk, unregulated investments.

‘If you see or receive offers of ‘free pension reviews’, just ignore them. If you are called out of the blue to discuss your pension, just hang up. Your pension is far too important to be put in the hands of a cold-caller.’  

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Brewin's Foster: the world’s most unconventional monetary policies

Brewin's Foster: the world’s most unconventional monetary policies

In this week's podcast, Guy Foster asks why the world’s biggest economies are pursuing some of the world’s most unconventional monetary policies. 

Play Charles Tan on Woodford & hidden trust income gems

Charles Tan on Woodford & hidden trust income gems

Cantor Fitzgerald investment company analyst Charles Tan discusses Woodford Patient Capital and some of the income trusts slipping under the radar.  

Play Taxicab Tenner: SGPB Hambros CIO Eric Verleyen

Taxicab Tenner: SGPB Hambros CIO Eric Verleyen

In the second episode of our new series, Verleyen jumps on board a black cab and explains how hard it's become to find good valuation on the market.  

Wealth Manager on Twitter