Gosling's Grouse: Time for clarity on investment research costs

Edison, which produces insightful analysis of closed-ended funds and other listed equities, last week released an excellent report entitled The Future of Equity Research, co-authored with an analyst from Bloomberg.

Why is it worth reading?  The regulators, not just here in the UK but globally too, have been turning their attention more keenly post-crisis to the issue of soft commissions, which is none too surprising given the attack on adviser commissions for advice. Soft commission - the practice of ‘awarding' dealing commission to investment banks in return for ‘research' - has long been a slightly controversial area. Some asset managers argue they are not that easily influenced and point to their fiduciary duty to get ‘best execution' on behalf of their clients, which largely translates to...