Advisers expect the Consumer Duty to boost consumer retail investment, with SIPPs one of the key areas to benefit, according to iPensions Group.
Its study found nearly half (45%) of advisers believe the number of consumers taking out SIPPs will increase as a result of the new rules, which are due to come into force on 31st July this year.
Almost two fifths (39%) of advisers also believe the number of customers taking our retail investment products will rise, while 61% believe pensions and retail investment products will receive a boost.
In contrast, just 14% do not expect Consumer Duty to have an impact on the number of retail investors.
The new rules, which seek to enhance consumer protection and ensure firms act in good faith and avoid foreseeable harm, have also had an impact on appetite for riskier investments.
More than one in 10 (12%) have stopped offering high risk investments, while 9% have withdrawn from offering defined benefit transfer advice.
Craig Cheyne, managing director of iPensions Group, said: “A key aim of the Consumer Duty regime is to increase investment in retail investment products and advisers are confident it will deliver on that.
“Pensions in general and SIPPs in particular look likely to be major beneficiaries of the new rules and advisers are also reviewing the products they will offer to customers.”
