FCA warns over conflicts of interest and debt levels among wealth consolidators

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FCA warns over conflicts of interest and debt levels among wealth consolidators

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The watchdog’s multi-firm probe examined how major consolidators of wealth managers and financial advisers are managing risks, debt and integration following an acquisitionPhoto: Bloomberg via Getty Images

The Financial Conduct Authority has sounded the alarm over potential conflicts of interest and high debt levels in its landmark review into M&A deals in the UK wealth sector.

The watchdog’s multi-firm probe, which was launched last October, examined how major consolidators of wealth managers and financial advisers — such as private equity firms — are managing risks, debt and integration following an acquisition.

FCA warns over conflicts of interest and debt levels among wealth consolidators
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