The Financial Conduct Authority (FCA) has fined an individual compliance oversight officer £75,000 for "failing to exercise due skill, care and diligence" with regard to pension transfers in his role at two firms.
The regulator found David Watters had failed to "take reasonable steps" to make sure the advice process in place for Enhanced Transfer Value (ETV) pension transfer exercises was adequate and met regulatory standards at FGS McClure Watters (FGS) and later Lanyon Astor Buller Ltd (LAB). "This led to a serious risk of unsuitable advice being given to customers of FGS and LAB about the merits of transferring their pension, from a DB [defined benefit] to a defined contribution scheme, as part of an ETV pension transfer exercise," the FCA said. The FCA estimated some 500 customers who recei...
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