Comment on the IMA’s consultation on enhanced disclosure of fund charges and costs
Commenting on the IMA’s consultation on enhanced disclosure of fund charges and costs, Gina Miller, founding Partner at SCM Private, who spearheads the True and Fair Campaign stated:
“This is yet another fudge from the IMA. A voluntary agreement for investment managers to give ‘enhanced’ disclosure of fund fees and charges will not drive a consumer-friendly, coherent approach to reporting investment costs, or deliver total transparency on fees.
“Legally binding standards for fund managers that ensure 100% disclosure of all fund management charges and fees across the industry, as we have argued for via the True & Fair campaign, are vital in order to restore consumer confidence. Anything less risks causing yet more confusion.
“In December 2009 the IMA admitted that it was hard to see dealing costs and members should be more open – 2.5 years later nothing changed. While it is welcome that the IMA have finally acknowledged that action is needed, the partial and voluntary code they propose still requires the hide and seek method of disclosure rather than giving one number which clearly sets out all dealing costs and charges. This is no meaningful change.
“The real point of interest is the vote on the MiFID II amendments next week, which could set the stage for legally binding guidelines on disclosure of all fund management charges and costs. This is when we will see real progress.”
Posted By: True and Fair, 8:26 am