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Advisers play the sentinels in the area of financial abuse of elders, said the Authority


Andrea Lubeck

22 November 2018 13:30

In terms of prevention, detection and intervention of financial abuse against elders, the advisers have a role of “sentinel” to play, recalled Frédéric Pérodeau, at the most recent Meeting with the Authority.

The one who held the position of superintendent of the assistance to clients and the supervision of the distribution for thefinancial markets Authority wanted to refresh the memory of the advisers on how they can help to fight abuse against people of one’s elders at the conference entitled together to solve the challenge of how best to preserve the financial health of elders, at which the Log of the insurance attended.

The prevention and detection

Mr. Pérodeau was first listed the different clues to look for that might suggest that a client experiences a situation of financial abuse. He notably spoke of the pressing demands or repeated to transfer funds or make withdrawals, transaction requests whose nature or amount are unusual, or where a third party previously unappreciated intruding in the relationship between a client and his advisor.

Citing data from various studies, Mr. Pérodeau reiterated that in 70% of cases of abuse, the people responsible for the situation were relatives.

The intervention is complex

The outreach component is, according to Mr. Pérodeau, the most complex part of the fight against financial abuse of elders. The advisers should be vigilant at this stage, since the concepts of protection of personal information and privacy, professional ethics, criminal law and criminal come into question, ” he says.

“We realize that the adviser believes to face such a situation raises two questions : what are the consequences if I denounce ? And what are the consequences for me if I do not report it ? “

Mr. Pérodeau has to be mentioned, that the obtaining of the consent of the victim is paramount, without which the advisor may be exposed to different consequences. “It is important to respect the rhythm of the person’s older, not the infantiliser. As a lawyer, we have a habit of wanting to protect at all costs and ask questions after, ” he added. It takes for example the fact that sometimes, the person who is responsible for the situation of abuse may be the only one close to the person’s eldest and that denounce lead to social isolation.

The role of the regulator

Mr. Pérodeau has also discussed the role that the financial markets Authority should play in the prevention of financial abuse of people of one’s elders. To this effect, the regulator participates in the action plan government to combat child abuse, adopted earlier this year. Out of the 52 measures of the plan, 12 are about finance and the Authority is involved in the implementation of 10 of them.

“In practical terms, this means that we have accentuated our efforts in financial education of associations of retirees and people older everywhere in Quebec. It has also a role of financial education to our clients in the industry. It is committed to informing the representatives of the role they have to play and also provide them with the tools to achieve it “, explained Mr. Pérodeau.

In addition, the Authority indicates its work towards the drafting of a guide that allows the industry to know the good practices for the prevention and detection of maltreatment, but also in terms of intervention. A memory aid will then be published for better understanding of the risk factors. Training will also be data on the subject.

Sales through the Internet : what to prepare ?

The Appointment of the Authority of financial markets has also been the host of a panel on the sale of insurance via the Internet. The panelists discussed the preparations that market intermediaries will need to consider before you take this avenue. This content, which will be available on Monday, is reserved for subscribers to our newsletters weekly with wall charges


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