Fiona Murphy takes a closer look at the Financial Conduct Authority's (FCA) capital adequacy reforms, thematic review and ‘Dear CEO' letter for SIPP operators.
The SIPP industry has finally been given clarity over reforms as the Financial Conduct Authority (FCA) published its long-awaited thematic review, and weeks later, its final policy statement on capital adequacy requirements. The new capital adequacy rules state: • The fixed minimum capital requirement for SIPP operators is to be set at £20,000 • Calculation of assets under administration (AUA) as the average of the value of the personal pension schemes administered by the firm at the most recent four quarter end dates • A capital surcharge is to be applied for firms holding non-sta...
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