UK

The Financial Services Authority (FSA) has promised that one of its replacement bodies, the Financial Conduct Authority (FCA), will not be a retrospective regulator.

The UK economy shrank by 0.7% in the second quarter of the year, a far worse contraction than economists had forecast, keeping the UK mired in recession.

GDP data released today is expected to paint a miserable picture for the UK economy, with a contraction in growth forecast for the second quarter.

FSA chairman Lord Adair Turner said the regulator is reviewing its approach to supervision following the LIBOR scandal, but said it would cost too much to prevent all malpractice in the industry.

Six men have been convicted of offences relating to insider dealing which netted them £732,000 in profits.

UK dividends rose 18.4% in Q2 2012 to reach a record high of £22.6bn, fuelled by special dividends and strong underlying growth, according to the latest Capita Dividend Monitor.

MAM Funds has reported a boost to funds under management following net inflows in the first half of the year.

ON UK INCOME

Neptune's Alex Breese is taking an overweight position to the media sector in his UK Special Situations fund.

Old Mutual is preparing to cut 30 jobs as it merges Skandia Investment Group and Old Mutual Asset Managers into a single division.