Published: 17/08/2022 By Hannah McCormack
The FCA has clamped down on marketing for high-risk investments implementing stronger rules to try and tackle misleading adverts. Any marketing which promotes investing in high-risk products with little or no warnings of the actual risks involved will be removed.Firms will need to ensure there is a very clear and concise warning of the risks on any marketing material. As well as this the FCA has banned incentives such as refer a friend bonuses as this can often push someone to invest who may not be 100% comfortable in the level they are going for.
The FCA has stressed the onus is on firms to ensure customers are matched to the risk level they are willing to take, making sure that the customer is fully aware of all the risks of investing, making clear the chance of losing their money.
The FCA state “These new rules build upon our more assertive and interventionist approach to tackling poor financial promotions, reducing the potential for unexpected consumer losses.”
Here at TBA we carry out a detailed assessment of your current lifestyle including available assets that you may want to invest, we then discuss in depth what you want from your investments and what is a realistic and fair option for you to think about investing in. We are Independent Financial Advisors therefore we are not affiliated to any one brand, we can therefore offer a more tailored option to you. All our advice is confidential and we offer a free initial consultation at a time suitable to you.
Give us a call if you would like to talk through any of our investment options including savings and pensions.
For more info read the FCA’s article here