OMGI's Buxton: We are not over-earning as an industry

Defends active management

Old Mutual Global Investors (OMGI) chief executive Richard Buxton has criticised the Financial Conduct Authority (FCA) for its treatment of active managers in its recently released Asset Management Study.

Speaking to the Financial Times, Buxton (pictured), chief executive of OMGI and manager of the Old Mutual UK Alpha fund, said active managers have been depicted by the regulator as villains in the investment world. The FCA Asset Management Study hit out at active managers, criticising them for a tendency to overcharge investors when a passive fund could achieve a return as much as 44% higher than its actively-managed equivalent. Editor's view: FCA challenges active managers to prove their worth However, the regulator acknowledged this was based on the assumption that an active fund...