The Financial Conduct Authority (FCA) has agreed to issue further guidance on the treatment of legacy cash rebates as part of its next quarterly consultation paper.
Cash rebates to retail clients on legacy business will be permitted to continue indefinitely, unless the investment is transferred to funds which do not allow cash rebates on or after the April 2014 deadline. The regulator has said it will move to further clarify its policy intention next month in response to a number of queries it has received from firms. "In view of the queries we have received, we have concluded that it would be helpful to add guidance on the treatment of legacy business in relation to cash rebates to retail clients, and intend to consult on draft guidance in the S...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- 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
