The FCA working group tasked with setting a template for fund charge disclosure is considering whether one or multiple templates would be more suitable.
The institutional disclosure working group, chaired by transparency champion Chris Sier, has been tasked with creating a new template for fund costs and charges following the package of remedies outlined in the FCA’s final report into the asset management industry
An update on the working group’s progress at December says the group has looked into whether the template could be split into different, smaller templates for specific asset classes.
The update, published on the FCA’s website, says some members of the group have also suggested different templates for different investor types.
It says these would take into account “the levels of support available to them and striking the balance between the benefits of fuller information with simpler more accessible disclosure information”.
The update says: “However, the IDWG has also agreed that there are practical benefits of one combined and simple template. The IDWG has agreed to continue to make progress on the underlying materials and will decide at a later date whether one or multiple disclosure templates is most suitable as their final recommendation.”
Working group chair Chris Sier this week apologised to the FCA and the Investment Association for criticising asset managers in an interview with The Times.
In the interview Sier called the investment industry “arrogant and complacent” on fees and referenced the quality of the work the IA did for its members.