The FCA has fired a warning shot against individuals who use loopholes to promote high-risk investments.
It published a discussion paper this morning setting out tougher measures to strengthen financial promotion rules for high-risk products.
The proposals are aimed at helping retail investors make better decisions and follows feedback to the call for input on consumer investments.
The paper focuses on three areas: the classification of high-risk investments, the segmentation of the high-risk investment market, and the responsibilities of firms approving financial promotions.
The regulator wants to find the right balance between consumer protection and responsibility for their own actions.
It also wants to identify any unintended consequences of these changes before consulting on rule changes later this year.
FCA executive director, consumers and competition Sheldon Mills said: “We have been clear that we want to deliver a consumer investment…