Joining the Consumer Duty Alliance and Financial Vulnerability Taskforce

We are delighted to share that we are now a member of the Consumer Duty Alliance and the Financial Vulnerability Taskforce. Aligned with our values, these associations are committed to promoting fair treatment, transparency, and better outcomes for consumers.

What does membership mean for our clients?

Head of Best Practice, Sarah Hammond says:

“At Equilibrium, we place a focus on client care, and putting the needs of our clients at the heart of everything we do. That’s why we have joined the Consumer Duty Alliance and Financial Vulnerability Taskforce. We are proud to be part of these voluntary industry bodies, demonstrating our commitment to good client outcomes and our purpose of making people’s lives better.”

About the organisations

Consumer Duty Alliance: A not-for-profit independent membership body whose purpose is to “inspire greater confidence and trust in financial advice and financial planning, by supporting the delivery of constantly good outcomes.”

Members of the Consumer Duty Alliance adhere to seven underlying principles:

• Act in good faith in all dealings with clients.
• Always avoid causing foreseeable harm to clients.
• Inform, empower, and support clients to pursue their financial needs, objectives, and aspirations.
• Fully disclose clearly explain and consciously mitigate any conflicts of interest identified in our dealings with clients, including where commercial interests might conflict with a client’s best interest.
• Only offer products or services that are both suitable and needed, offering fair value and transparent pricing.
• Ensure clients receive the support they need, when they need it.
• Embrace a focus on customer vulnerability including adherence to the Consumer Charter of the Financial Vulnerability Taskforce.

Financial Vulnerability Taskforce (FVT): Launched in October 2021, the FVT is a separate entity within the Alliance, to promote a greater understanding of vulnerability and helps firms develop appropriate knowledge, behaviours, and good practice when dealing with clients in vulnerable circumstances.

This is a Charter where we commit to providing bespoke services to clients who require additional support to ensure that their outcomes are the same as they would be were they not vulnerable.

This includes:

• Making our services easier to understand.
• Placing the client’s interests above all else.
• Making our services and costs transparent.
• Understanding why a client may be vulnerable.
• Not making any assumptions.
• Not “labelling” clients as a result of a vulnerability.
• Dealing with clients sensitively.
• Adapting processes and maintaining confidentiality.
• Ensuring staff are knowledgeable and aware.
• Taking appropriate action if a client is in harm’s way.

We would love to hear from you if this blog has prompted any thoughts. To speak to one of our financial experts, please contact us here or call us on 0161 383 3335.