Energy Efficient Label Financial Advice

Energy Efficient Label Financial Advice.

The industry regulator, the Financial Conduct Authority (FCA), has issued a discussion paper for the financial industry called the Smarter Communications Discussion Document.

The regulator wants to make the finance industry much clearer and more transparent in what its fees and charges are to the point where today they issued the discussion document and even suggested for regulated investment advice that an equivalent of an energy efficient label similar to those displayed on all motor vehicles sold in the United States, should be displayed by financial advisers and distributed to both existing and new clients accordingly.

They have published some suggestions and the images are here for you to look at now. Surprisingly, they look very similar to the ‘buyers guide’ that was required to be issued in the late 1980s and early 1990s as well as the current ‘key facts’ document that all financial companies issue today.

We believe the reason for considering the cost sticker label is because so many financial services companies still do not disclose their fees in a transparent manner to their clients and still hide behind percentages %, which unless you are a mathematician they may not be that clear to you.

Interestingly, yet again the FCA documents appear to follow a format very similar to what we already offer at financialadvice.net. They refer to red, amber and green risk warnings and also refer to gold and platinum ongoing service costs in their example.

Surprise surprise, at financialadvice.net we already offer in writing clear round pound figures for our fees, we already offer red, amber and green investment alerts as part of our traffic light investment alerts service and finally, our money MOT service offers ongoing financial advice services at bronze, silver, gold and platinum levels with distinct services delivered for each service level with the costs published in our brochure.

Is Big Brother watching us? Are we doing something right? We think we are.

If you would like to know more about our transparent approach to fees and our ongoing money MOT services please do contact us.