A question that frequently gets asked!  

The purpose of a suitability report is to put a client in an informed position to be able to make a decision on the advice and recommendations being given. They are our clients’ stories, and if they’re bored reading their own story, or it’s too difficult to understand, we are failing them and our responsibilities to them under the Consumer Duty.  

I’ve reviewed a lot of reports over the years, so I thought I’d share three of the biggest issues I’ve seen, and how these can easily be fixed:  

Problem – Too much irrelevant information  

The Conduct of Business Sourcebook Rules (COBS) state for most reports, there are three things that must be included:  

• The client’s needs/objectives  
• The recommendation and how it meets those needs  
• Drawbacks and disadvantages  

There’s going to be other things included to put the client in that informed position but often there’s far more than is needed. 

To solve this, we need to make sure the only information included is personal to the client and relevant to the advice being given. Anything not client specific needs to be in an Appendix or signposted to.  

Problem – Excessive jargon and technical terms  

We work in a profession rife with technical jargon and terms many clients won’t be familiar with. Including these makes reports difficult to read and means a client is far less likely to.  

Using everyday language makes reports easier to digest and more engaging. Always assume intelligence rather than knowledge with a client, and explain things simply and clearly. The Plain English Campaign is great for help on this: https://www.plainenglish.co.uk/ 

Problem – Poor formatting and layout  

How a report is laid out can also be a key factor in whether it’s read or not.  

A report with good line spacing, colour, a reader-friendly font, and plenty of ‘white-space’ is far easier to read than a shorter, squashed up report. Good formatting makes a report more engaging and inviting for the client, and more likely to be read.