European Commission to investigate fund fees and performance

Could lead to new regulation

The European authorities are likely to carry out further analysis of retail product costs, in a move which could lead to regulation in this area.

The Financial Times reports the European Commission is to recommend EU regulators investigate the performance and fees of retail investment products, to ensure better service for consumers.  Valdis Dombrovskis (pictured), who recently took over the financial services brief in Brussels, said in a speech he will ask European authorities to carry out analysis of the net performance and fees of long-term retail and pension products. "Returns on retail investment products and pensions can be heavily influenced by the fees levied by asset managers and intermediaries," said Dombrovskis. "We ...