Due Diligence is about going beyond just comparing charges or referring to industry awards.
A robust due diligence process should provide a comprehensive assessment of all providers and platforms and investment solutions. Alongside financial strength and service standards, firms should consider governance, operational resilience cyber security, data protection, business continuity, financial crime controls and the quality on going support.
The depth of due diligence will depend on the type of product (wrapper) or service being assessed. Some firms used approved panels while others undertake whole of market research on a case-by-case basis. Both approaches can be appropriate provided the process is objective, proportionate, regularly reviewed and clearly documented.
Under Consumer Duty, firms should also be able to demonstrate that their due diligence supports the delivery of good client outcomes and that providers continue to represent fair value throughout the client journey.
Above all your approach must be genuinely whole of market and independent.
- Do you have a clear, consistent and documented process for selecting providers for each area of advice?
- Is your process applied by all the advisers in your firm?
- How often do you review any providers you have placed on an approved panel?
- Do you have a process in place for clients with particular or unusual needs?
We can
- Review your current process and help you design a documented process that can be applied consistently across your firm.
- Provide you with a process for particular product areas that may be advised on more rarely such as EIS, BPR schemes or choosing a suitable SIPP provider for a property purchase.
- Put together panels of approved providers for any product area, from wraps to offshore bonds to bespoke SIPP and SSAS.
Related services
Centralised Investment Proposition (CIP)
ComplyMe can review your current Centralised Investment Proposition and provide a report assessing how it operates, whether it remains suitable for your client base and whether any changes may be required.
Complaints Handling
We can handle the complaints process from the outset and where appropriate undertake the necessary redress calculations.
The Right Service
ComplyMe have extensive experience in pre-approving advice, giving you the comfort that your files are being reviewed by suitably qualified individuals.
As part of this service we will provide a report with our feedback including guidance and recommendations where appropriate.
