Pensions - Articles - Royal London comment on FCA report on DB to DC transfers

 ‘The decision to give up rights in a final salary pension scheme is a major choice for individuals, and it is vital that they are supported by high quality, impartial financial advice. Such pension rights can easily exceed the value of someone’s home and the advice they receive needs to be based on a comprehensive assessment of their needs and circumstances. Many advice firms are investing in driving up advice standards to ensure that clients are clear whether a transfer is in their best interests or not.

 But the FCA have highlighted clear areas of concern, including the interaction between advisers and transfer specialists and the suitability of the product where the transferred money will be invested. It is vital that these warnings are heeded so that all adviser firms are adhering to the standards of the best’.