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IFAs should wear "neutral" colours in client meetings to reflect their independent status, the FSA proposes.
Buried in last week's Policy Statement on adviser charging, the regulator says colours including ivory, black, grey, and white could help avoid customer "confusion" about the status of the adviser they are dealing with.
Restricted advisers should wear mostly red to "warn" consumers of their limited market reach while multi-tied practitioners - who will also be called 'restricted' from 1 January 2013 - should "mix and match".
The FSA says if it presses ahead with the rule it may conduct mystery shopping exercises to ensure advisers are complying.
Guidance on clothing may be necessary, the regulator adds, because it remains unconvinced restricted advisers will properly disclose their limitations to potential clients.
As part of its Policy Statement, the regulator opted against mandating the wording restricted firms will need to use when orally explaining their proposition.
The paper reads: "Some stakeholders suggested the idea as an additional way to help consumers better understand the service they are being offered.
"If we go ahead with this rule, we will look to conduct some mystery shopping exercises to monitor the extent to which it is being complied with."
IFA Owen Cash says the idea has legs: "I have been on at the FSA and AIFA (Association of IFAs) for years about this.
"Tied advisers should not be able to wear whites, for example, because their service is anything but.
"If it were up to me, all restricted advisers would be forced to wear a cap bearing the initials ‘RA' - restricted advice - whenever face-to-face with a client. And even maybe when they are on the phone."
Nick Cann, CEO of the Institute of Financial Planning (IFP), adds: "We do think this is going a bit far, but I'm not ashamed to admit we actually suggest our members wear a blue shirt with a yellow tie to make them [clients] think of a summer's day.
"It's worth six CPD points."
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Almost
Not a bad idea though
Posted by: April's Fool
Mickey Mouse!
Are you making this up! What next, Solar power street lights!
Posted by: Gamble
What a sensible proposal
This almost makes up for the FSA removing the mandatory disclosure of restricted adviser status. In addition to having to wear red, can I suggest that restricted advisers should be forced to carry their pitchfork at all times and not be permitted to wear a hat, in case it prevents customers from spotting their horns?
Posted by: Ivan Opinion
FSA Clothing regime
This is a brilliant idea, Wealth Managers could wear Savill Row Generalist IFAs could wear M & S Multi-tied Matalan Tied and Direct Sales TK MAX If this catches on I could do a great line in Pin stripe burmuda shorts, for the barmy days at Canary Wharf. Any chance that we could get a tax free clothing allowance please ?
Posted by: David Curley
better still..
get them to wear masks, then customers will know they are being robbed.....don't forger to recommend the "under water basket weaving" funds just launched as an ISA today.....or better still "reversible trouser bonds".
Posted by: Fraser Brydon - IFA
Wot a grate ID ya
The FSA are so lacking in common sense that I would have believed this any day other than today!!! :) Teeeheee!!
Posted by: Wodders
All in Favour
But I hope you read on far enough to realise that they also insist all IFA's spray themselves with a good squirt of Eau De Sanctimonious and wear white with a Halo before venturing out.
Posted by: Rog in Red
I have a problem with this
all my wet suits are black............
Posted by: Phil Castle
Red Clothes
With what has come out of the FSAs offices recently this is not beyond belief! The only thing that caught you out was that, with the help they appear to be giving restricted advisers and the battering they keep giving IFAs, most of who are proud of giving value and good advice, it would be more likely the FSA would require Independent Advisers wear red. And probably a target on their backs so the FSA can keep taking pot-shots.
Posted by: Stuart
FSA new rules
what a brilliant idea! while on the subject, get bank advisers to wear green ( the clour of money and most of them have ours), and trainee advisers of the restricted variety to wear red socks as well as red suits, partly trianed to wear one red and one white and fully trained, white socks
Posted by: archie
April Fool
This is just the sort of madcap idea that the FSA is capable thinking up! It might be April Fools Day but anything is possible.
Posted by: Terryh
Lady in Red
My fellow gentlemen colleagues would look lovely in Barbie Pink and would still meet FSA warnings. Trouble is I suppose that they would find it difficult to find suits in either colour.
Posted by: Ladies view
Nice one
I'm ashamed to say I forgot what date it was
Posted by: Smiffy
April Fools
The sad thing is it is not beyond belief that the numties at the FSA wouldn't come up with an idea like this. I sometimes think every day is April Fools day when reading their lastest idea's
Posted by: John Phillips
!st April
Yes its April fools day but what a great idea we could then off set our work suits etc against TAX as we would have no choice but to have an office unform which we could offseton tax returns plus dry cleaning
Posted by: Andrew Brabham-Neil
Orwell's Big Brother- Alive and Well
This may be an Aril fool joke, but it is no joke what the FSA are doing to the financial services industry. As other people have commented, and this is the sad part, it is not beyond the realms of possibility that the FSA would come up with just such a dress code proposal. It would be yet another 'big brother' control mechanism to assert their dubious authority. They operate as an extension to this labour government's insidious social control and undemocratic authoritatrian manipulation of social structures, dressed up as being for the good of the people. Remember they know best- it is all for your own good. The fact that most of them (i.e. the labour government and the FSA minions) are not competent enough to run a janitorial service at Paddington station, just does not come into the equation. 'all animals are equal, except that some animals are more equal than others'
Posted by: Grant Vickers MSc LLM
And the FSA management?
What should they wear? Superman outfit for Adair Turner? Somehow I don't think so. Maybe the German government have some old DDR Stasi uniforms they could let them have on the cheap. Such is my faith in those who regulate us I almost forgot the date when I first read this.
Posted by: Neil F Liversidge
Oh Dear
Does this mean that the FSA have abandoned their reported suggestion that we should all hand out "scratch& sniff" business cards?
Posted by: Believe Anything
April Fool
I am surprised that the FSA does not bring in a rule that as all FSA regulated personal are supposed to be fully transparent that they do not stipulate that when an investment is being discussed that they should sit there in their underwear so as to show that nothing is hidden up their sleeves or anywhere else for that matter. My concern is what happens to those who don;t wear underwear especially in the summer months. I am sure sales would improve vertically.
Posted by: An Ex IFA
April Fool
Lets all wear red hats and no clothes.
Posted by: Mad Hatter
Par for the course
But for the date of announcement this is typical of the nonsense we get from this labour government and the FSA
Posted by: Les
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Good one for the Fools' Day!
Posted by: Comic