The UK’s retail distribution review may be extended if the financial services industry does not work with the regulator with the Markets in Financial Instruments Directive, Philip Warland from Fidelity International has warned.
The distribution process is being reviewed and consulted upon by the European Commission through three directives: the Insurance Mediation Directive, MIFID and Packaged Retail Investment Products. The RDR is being implemented by the UK regulator, the Financial Services Authority, and will come into force on 1 January 2013.
It aims to create trust and confidence for retail investors by increasing standards and reducing the potential for bias with adviser remuneration.
London-based Warland, head of public policy at Fidelity, said: “If the industry does not work with the regulator to get MIFID right and continue