LONDON (Reuters) – Britain’s markets watchdog curbed activities of twice as many consumer investment firms in the last financial year as the previous year, it said on Tuesday, as it seeks to clamp down on poor financial advice and scams.
The restrictions included preventing firms from promoting and selling certain products or providing specific services like advice on defined benefit – or final salary – pension transfers, the Financial Conduct Authority said in a statement.
Under Chief Executive Nikhil Rathi, lawmakers have pressured the FCA to make radical changes so it can spot misconduct faster, after a surge in online scams since people were forced to work from home due to COVID-19 restrictions.
The watchdog was heavily criticised in 2020 in an independent report into the collapse of investment firm London Capital & Finance and it has pledged to improve how it deals with information received from the public.
“We want to see a consumer investment market where consumers can invest with confidence, understanding the level of risk they are taking, and where assertive action is taken when harm is identified,” said Sarah Pritchard, executive director of markets at the FCA.
The FCA said it stopped 17 firms and seven individuals from getting new FCA authorisation last year where it suspected phoenixing – people moving to or setting up a new firm to avoid the consequences of having provided unsuitable advice.
It also stopped the UK operations of 16 contracts for difference providers where it suspected scams, or where consumers were encouraged to trade excessively to generate revenue.
Without FCA action, consumers could have lost around 100 million pounds ($114.28 million) a year, the watchdog said.
The FCA said it published more than 1,800 consumer alerts about unauthorised firms or individuals last year, 40% more than the previous year.
($1 = 0.8750 pounds)
(Reporting by Carolyn Cohn and Kirstin Ridley; Editing by Josie Kao)
TORONTO – Canada’s main stock index was up more than 100 points in late-morning trading, helped by strength in base metal and utility stocks, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 103.40 points at 24,542.48.
In New York, the Dow Jones industrial average was up 192.31 points at 42,932.73. The S&P 500 index was up 7.14 points at 5,822.40, while the Nasdaq composite was down 9.03 points at 18,306.56.
The Canadian dollar traded for 72.61 cents US compared with 72.44 cents US on Tuesday.
The November crude oil contract was down 71 cents at US$69.87 per barrel and the November natural gas contract was down eight cents at US$2.42 per mmBTU.
The December gold contract was up US$7.20 at US$2,686.10 an ounce and the December copper contract was up a penny at US$4.35 a pound.
This report by The Canadian Press was first published Oct. 16, 2024.
TORONTO – Canada’s main stock index was up more than 200 points in late-morning trading, while U.S. stock markets were also headed higher.
The S&P/TSX composite index was up 205.86 points at 24,508.12.
In New York, the Dow Jones industrial average was up 336.62 points at 42,790.74. The S&P 500 index was up 34.19 points at 5,814.24, while the Nasdaq composite was up 60.27 points at 18.342.32.
The Canadian dollar traded for 72.61 cents US compared with 72.71 cents US on Thursday.
The November crude oil contract was down 15 cents at US$75.70 per barrel and the November natural gas contract was down two cents at US$2.65 per mmBTU.
The December gold contract was down US$29.60 at US$2,668.90 an ounce and the December copper contract was up four cents at US$4.47 a pound.
This report by The Canadian Press was first published Oct. 11, 2024.
TORONTO – Canada’s main stock index was little changed in late-morning trading as the financial sector fell, but energy and base metal stocks moved higher.
The S&P/TSX composite index was up 0.05 of a point at 24,224.95.
In New York, the Dow Jones industrial average was down 94.31 points at 42,417.69. The S&P 500 index was down 10.91 points at 5,781.13, while the Nasdaq composite was down 29.59 points at 18,262.03.
The Canadian dollar traded for 72.71 cents US compared with 73.05 cents US on Wednesday.
The November crude oil contract was up US$1.69 at US$74.93 per barrel and the November natural gas contract was up a penny at US$2.67 per mmBTU.
The December gold contract was up US$14.70 at US$2,640.70 an ounce and the December copper contract was up two cents at US$4.42 a pound.
This report by The Canadian Press was first published Oct. 10, 2024.
