The review found that firms are broadly operating in line with the RDR rules, albeit with issues identified around client charging and adviser representation.
Chris Hannant, director general at APFA, said: “The issues that have been raised amount to more of a fine-tuning of the application of the rules and we believe there will be marked improvement in these areas by the next review in October. If there is we question whether a third review will be necessary.
“One issue raised is around the clarity of charging by firms. It is early days, but a lot of progress has been made in a short period with many firms acting in line with the rules.”
But Hannant said some teething issues are to be expected as companies adapt to new ways of charging and companies refine the way they operate.
He said: “The review also questions how firms represent themselves with regard to being independent or restricted. Our experience is that companies are very definite about the models they are now operating.
“It is clear however that for customers, there is need for improvement and greater clarity around the distinctions.
“We will be looking closely at the FCA’s research to see how we can help members learn from good practice in this area.
“The FCA has recognised that the industry has done a good job in preparing for and getting to grips with the new regulatory framework.”
However Hannant warned that the FCA now needs to translate that recognition into tangible benefits.
He said: “With less supervision of advisers needed, that should translate to lower fees. Support from the FCA on this will not only help the sector recover numbers, but also ensure it can look after its clients to the best of its ability.”
The second cycle of the FCA’s review into RDR will focus on enforcement, and the results are expected in October.