Response to IMA comments on True and Fair Campaign
Commenting on media reports that the IMA’s new CEO Daniel Godfrey has said he does not agree that savers ‘should have an annual statement telling them the cost of investments in pounds, shillings and pence’ and that he favours retaining Total Expense Ratios, Gina Miller, founder of The True and Fair Campaign stated:
We are deeply disappointed to see these comments from Daniel Godfrey as we had hoped that the IMA was going to live up to its bold promise to work to promote greater transparency on costs and charges and build new industry-consensus and standards on disclosure.
These appear to have been empty promises from an utterly discredited industry-body that remains focused on its own survival and the interests of its members, not on driving higher standards and protecting the needs of ordinary savers and investors. The IMA repeatedly fails in its stated purpose “to improve the financial outcomes for customers – savers and investors.”
While Daniel Godfrey and the IMA may not welcome giving consumers a figure showing what they pay in fund fees and costs, in pounds and pence, savers themselves are crying out for this transparency, with research we commissioned showing that 89% of savers want disclosure and a full breakdown on fees.
Giving the clear total cost of investment figure in one number, a True Cost of Investing figure, in one place, is surely a fundamental and legitimate expectation for modern investors? The IMA continues to live in the past. It is imperative that consumers are given this fundamental right so they can regain trust in the savings and investment industry and stop the savings gap which hurts the social and economic future of our society.’
Posted By: True and Fair, 7:05 pm