PROD, Product Intervention and Product Governance sourcebook, was introduced by the FCA in January 2018 to help financial firms implement
MiFID II product governance obligations.
This involves maintaining robust oversight and governance processes so that the systems financial firms have in place to design, market and manage products comply with regulatory and legal requirements.
The Clever PROD Guide covers:
• An explanation of PROD, what it means and who it applies to, including product manufacturers (providers), product distributors (advisers) and platforms.
• Guidelines on how to implement PROD effectively including the importance and regulatory requirement, of documenting all stages in the advice process.
• Information on how PROD impacts on Centralised Investment Propositions (CIPs) and the necessity of examining an adviser’s proposition to ensure risks are identified and managed.
• Cautions about non-compliance, guidance on how to cope with ‘regulation fatigue’ and clarification on who takes responsibility.
• What PROD means for the profession, compliance and competition and how advisers can make it work for them.
Advisers can download the free Clever PROD Guide here https://cleveradviser.pages.salesfusion.com/PROD-guide-download
Patrick Boughton, sales and marketing director of Clever, said: “It is vital that advisers and financial firms understand the need to comply fully with PROD in order to work within the regulations set out by MiFID II.
“That said, it’s not always straight forward and, with the best will in the world, some advisers may find that their processes fall short.
“Successfully juggling the challenges of meeting their clients’ needs whilst attempting to run and manage their business is demanding enough.
“But, add into the mix the ever-shifting regulatory and legal framework that is required of them, and it’s understandable that advisers need support and guidance in order to get it right.
“The Clever PROD Guide has been produced in order to do just this.
“By implementing PROD, advisers will ensure that they are delivering the best value service and products to their clients, something that all advisers and the wider industry strives for.
“This guide is an important port of call for advisers who are keen to embrace PROD but perhaps need a guiding hand when it comes to putting all the robust processes in place.”