The UK’s Financial Conduct Authority (FCA) has called for greater transparency in the asset management sector after a review that concluded that ‘competition is weak’ in the £7 trillion sector.
Fund managers will now be required to act in the best interests of investors and appoint a minimum of two independent directors to their boards, the watchdog said.
Go deeper with GlobalData
The regulator also called for a single, all-in-fee to investors, as well as consistent and standardised disclosure of costs to investors.
At the same time, FCA suggested that it should be offered regulatory oversight of investment consultants. It also unveiled plans to launch a market study into investment platforms.
The remedial measures will be implemented in multiple stages, with some subject to outcome of consultation.
FCA CEO Andrew Bailey said: “The asset management sector is important to the economy, managing the savings of millions of people and in the current low interest environment it’s vital we help people earn a return on their savings. We need a competitive sector, attracting investment into the United Kingdom which also works well for the people who rely on it for their financial wellbeing.”
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData
