An outsourced paraplanner can review the supplied case file, identify gaps, research suitable products or strategies, complete agreed analysis and calculations, and draft suitability material in the firm’s template. The adviser firm decides the recommendation, communicates with the client, checks the output and retains regulatory accountability.
Work that can sit inside the scope
- Case-file completeness and dependency checks
- Provider, product and technical research
- Charges, features and scenario comparisons
- Agreed tax, retirement-income or investment calculations
- Suitability report drafting and structured handover notes
- Clear recording of assumptions, evidence gaps and adviser decisions
What does not transfer to CPS
The engaging firm retains its permissions, client relationship, advice, recommendation, supervision, complaints responsibilities and final file approval. FCA guidance is clear that a regulated firm cannot delegate its regulatory responsibility through outsourcing.
When outsourced support tends to fit
It can suit temporary capacity gaps, variable case volumes, a defined technical project or firms that want specialist production support without fixed headcount. A good fit still depends on clear scope, information quality, secure access, competence, oversight and a workable feedback route.
Questions to settle before the first case
- Which case types and deliverables are in scope?
- Who makes and signs off every advice decision?
- Which templates, research rules and compliance checks apply?
- How will client data be transferred, accessed and deleted?
- What starts, pauses or changes the delivery target?
- How will quality, incidents and recurring issues be reviewed?
Frequently asked questions
Does an outsourced paraplanner give advice to the client?
Not in the CPS launch model. CPS supplies business-to-business technical support; the engaging adviser firm retains the client relationship, regulated recommendation, approval and sign-off.
Can an outsourced paraplanner work in a firm’s own template?
Yes. The scope can require the firm’s report template, research standards, assumptions and compliance checks, provided these are supplied before work begins.
Who remains responsible for the advice?
The engaging adviser firm remains responsible for its regulated activities, client outcomes, supervision and final file decisions. Outsourcing work does not outsource accountability.
Primary sources
- FCA: Outsourcing and operational resilience
- ICO: Contracts and liabilities between controllers and processors
This is general operational information for professional firms, not legal or regulatory advice.