The UK Financial Conduct Authority (FCA) has issued proposals to amend the regulations governing investment managers’ use of client commissions, in light of new EU reforms.
In a statement issued yesterday, FCA chief executive Martin Wheatley indicated a new regime may be imminent, under which charges paid by consumers for executing trades (i.e. dealing commissions) are “fairer and more transparent”.
“We need to be confident that managers are putting their clients’ value for money, good returns and transparency at the heart of how they do business,” Mr Wheatley said.
“So today’s consultation is part of a wider debate on the need to reform the use of the dealing regime, particularly the use of dealing commissions, and how industry practice can be improved now to the benefit of all.
“As a forward-looking regulator, we expect firms to exercise judgement to act in the best interest of their clients – seeking to manage their clients’ costs as effectively as they pursue investment returns”.
SUBSCRIBE TO THE IFA DAILY BULLETIN
- 20 Jul 2018CPA shuts financial advice divisionBy Reporter
- 20 Jul 2018Don't neglect AI, advisers warnedBy Tim Stewart
- 19 Jul 2018AMP unveils new in-house training programBy Reporter
- 19 Jul 2018Self-licensed adviser cops 4-year ASIC banBy Reporter
- 19 Jul 2018Hub24 to launch new core offeringBy Reporter
- 19 Jul 2018SMSF sector warns about advice ‘exodus’By Miranda Brownlee
- view all