ISA investors could be banned from making new investments to open-ended property funds as part of the Government's response to Financial Conduct Authority (FCA) proposals to resolve the "liquidity mismatch" at the heart of the vehicles.
In August, the FCA proposed a series of measures designed to prevent frequent suspensions across the open-ended property fund market, including the implementation of a 180-day notice period for consumers redeeming investments. The proposals are problematic for investors using ISAs, the legislation of which requires account holders to be able to access the funds or transfer them to another ISA within 30 days of making an instruction to their account manager. As a result, HM Revenue & Customs (HMRC) revealed on Wednesday (28 October) that the Government is "considering the idea of allow...
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