Pension illustrations: The double-edged sword of tight regulation

'I am a firm believer the Consumer Duty outcomes are a positive'

clock • 7 min read

Paul Muir explains why tight pension illustration regulation risks standing in the way of Consumer Duty compliance obligations...

I recently asked one of my colleagues to provide a summary of the key Conduct of Business Sourcebook (COBS) rules which dictate what goes into a pensions key features illustration (KFI). Back came a list of 16 major rules which we must abide by when producing pensions illustrations for our clients in 2024. There are, in reality, even more than that. That's a lot of rules which determine exactly what we must put in these illustrations. They mandate how our customers present projections to consumers and how those projections are calculated. Many are frankly a turn-off for people reading...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Regulation

FCA's shelved name and shame policy 'deeply flawed from the outset'

FCA's shelved name and shame policy 'deeply flawed from the outset'

The decision to drop the policy described as ‘significant development’

Sahar Nazir
clock 12 March 2025 • 2 min read
SDR 'not easy' but has 'raised the bar' - FCA's Sacha Sadan

SDR 'not easy' but has 'raised the bar' - FCA's Sacha Sadan

More than 100 funds have adopted one of the four SDR labels

Cristian Angeloni
clock 12 March 2025 • 4 min read
Updated: FCA drops plan to name and shame firms under investigation

Updated: FCA drops plan to name and shame firms under investigation

Watchdog to retain existing disclosure rules

Sahar Nazir
clock 12 March 2025 • 1 min read