Industry faces £28m-a-year bill to cover FCA's proposed 'remedies'

One-off costs of £6.7m

Mike Sheen
clock • 3 min read

The UK's investment industry could face costs of £27.7m per year as a result of FCA proposals on fund governance and the 'value for money' rule.

'Remedies' proposed in the final report of the regulator's Asset Management Market Study would also see asset managers incur a one-off charge of £6.7m. The FCA's final report seeks industry consultation on proposals that would see at least 25% of an asset manager's board comprised of independent directors, and a minimum of two on each board, as well as the implementation of a 'value for money' rule. Asset managers' shares hit by FCA report As required by law, the regulator has set out a cost-benefit analysis of the changes it proposes, prior to implementation. The bulk of costs ...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Regulation

Trustpilot