Investment trust boards have been faced with a decision to either be barred from new investments if they do not publish costs in line with pre-Brexit regulations, or compromise on their Consumer Duty obligations.
Meanwhile, retail investment platforms are raising similar client protection concerns as part of an ongoing debate over the sector's cost disclosure reform. Closed-ended investments had been subject to two EU directives, PRIIPS and MiFID II, which targeted non-UCITS vehicles and required them to be more transparent with their cost disclosures. Back in September, the Treasury and the Financial Conduct Authority moved to temporarily make investment trusts exempt from complying with these rules after electing that the existing methodology was creating issues for trusts. Changes to cos...
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
