The Investment Management Association has pushed back the implementation date for its managed sectors to October 1, 2011 after members called for more time to respond to the proposals.
The decision means a four month delay on the original implementation date of July 1, 2011.
Members were expected to respond to the IMA sector review on June 17, 2011, but following a meeting on Monday the date has now been pushed back to July 29, 2011.
The IMA was slammed by both fund managers and advisers after announcing plans last month to rename the active, balanced and cautious sectors as managed A, B and C as well as creating a new managed D peer group for the least risky managed funds.
The IMA said the aim is to indicate that funds are “managed” and more subject to a degree of manager discretion.
Many in the industry have claimed the decision does not add any clarity on the risk profile of funds.
Commenting on the delay, the IMA said: “This extension comes on the back of feedback from our members.”