Why questions remain over IMA plans

Back in May, I wrote a comment piece on why the IMA's original plans for its multi-asset Managed sectors posed a risk to advisers and their clients.

Following a huge backlash from the industry, the IMA’s original plans for A, B,C and D categories have been ditched in favour of following the ABI definitions. These are based on percentage exposure to different asset classes. According to IMA research, consumers have a high understanding of terms like ‘equity’, ‘exposure’ and ‘restricted’. Clearly, Cautious, Balanced and Active tags meant next to nothing and at least there will be no confusion now about the make-up of funds in those sectors. However, fund groups will be upset that once again the IMA has gone down the route of defini...