Further reform for the asset management industry

The report focuses on how well competition works in the industry and the resulting outcomes for retail and institutional investors. Given the recent debates over cost disclosures and value for money for investors, it is unsurprising that, under the auspices of its competition role, the FCA proposes a package of reforms that it believes will improve the experience of retail and institutional investors. In this briefing we consider the changes the FCA is considering and why. Some of these changes could radically alter the landscape of transparency and reporting to investors for all asset managers, including hedge fund and, potentially, private equity managers. Asset managers should consider their impact and respond to the consultation if appropriate. The FCA will consider comments on its proposals before publishing amendments to its rules by the second quarter of 2017.