Government plans for a life-long individual savings account could herald a boom for UK fund managers, according to the Association Investment Trust Companies.
The AITC believes that the new schemes, dubbed the Lisa, could boost UK funds in the same way as US 401k plans, which have a similar design, boosted US mutual funds.
AITC technical director David Harris says the investment funds industry must seize the opportunity presented by the Government in the same way US mutual funds reacted to 401k plans.
Harris says: "I believe the Lisa could be the biggest thing to affect the collective funds industry. If it does not get hold of this one it only has itself to blame."