The annual review is dead: Fundment CEO says responsive advice is the new standard

The FCA’s proposal to remove the mandatory annual suitability review doesn’t mean more meetings. It means smarter architecture, writes Fundment CEO, Ola Abdul.

For many years the ‘annual review’ has been a familiar anchor point in financial planning; a natural moment to pause and reflect. But planners know better than anyone that client needs rarely follow a 12-month cycle. Most already respond to life events as they happen and adapt plans long before the next scheduled meeting.

The FCA’s proposal to remove the mandatory annual suitability review for MiFID business simply brings the rules closer to the way good planning already works.

Life does not move in annual rhythms. A job change, house move, or unexpected inheritance does not wait for a date in the diary. Planners have always stepped in when clients need them, and the new rules recognise this reality. They allow firms to set review frequencies based on client needs and circumstances rather than a fixed timetable. This is a positive shift that supports professional judgement and gives planners more room to design services that fit the client rather than the calendar.

Acting when it matters

Markets have also changed. The last decade has shown how quickly conditions can shift. Brexit. Covid. Periods of volatility that require agility. Annual check-ins can feel out of step with the pace of change. Planners do not need to react to every market movement but they do need systems that help them monitor and act when something genuinely matters. Technology now makes this far easier. It can surface insights, flag risks and support planners in staying ahead of issues rather than looking back at them.

Clients have changed too. They are used to services that update in real time: Banking apps show balances instantly, fitness trackers nudge daily. Against that backdrop a once-a-year review can feel limited even when the planner is doing far more behind the scenes. Clients want the quiet confidence that someone is watching over their financial life – not constant contact, of course, but the reassurance that if something changes their plan will change with it.

Letting technology carry the load

This is where technology becomes a real partner. It can help firms segment clients, understand who needs attention and when, and support oversight and controls. It can help deliver suitability assessments through the channels that work best for each client. It can run a continuous review layer in the background so planners can focus on interpretation and judgement. The FCA proposals make clear that firms can choose how reviews are delivered and the good news is that modern technology can carry some of the load.

The shift away from a fixed annual requirement also reflects something planners see every day. The need for a review evolves over time. A client may have little need for regular contact for years then suddenly enter a period where annual would not be enough. Skilled planners recognise this and adapt. The challenge is doing this consistently at scale. Firms will need systems that help them understand changing needs and trigger the right level of support at the right time.

The FCA’s direction is clear. Suitability is not an annual event. It is an ongoing responsibility. Removing the annual requirement does not mean more meetings – it means smarter architecture. It means designing services that are responsive and supported by technology that runs quietly in the background. It means using professional judgement to set review frequencies that reflect the client’s life.

This moves the profession from annual review to continuous architecture. Technology provides the always-on layer; the planner brings the human connection. Meetings still matter but their purpose changes. Instead of repeating what a dashboard already shows, the conversation becomes deeper: What has changed in your life? What do these numbers mean for your goals? What is keeping you up at night?

The annual review may be fading but the planner client relationship is not. It is becoming more relevant and more aligned to how people live. Planners who embrace this shift will not only meet regulatory demands but exceed client expectations. They will be seen as trusted partners who are present, perceptive and valuable throughout the year, rather than occasionally.

Ola Abdul is Founder and CEO of Fundment, the investment platform helping financial planners move faster.