Global asset management firm Legg Mason has announced plans to cut out trail commissions on its UK authorised funds effective from 1 April 2016 in line with the rules set down in Retail Distribution Review (‘RDR’).
A return to commission payments would be a huge step backwards and contrary to the retail distribution review, said industry leaders after the Financial Conduct Authority’s (FCA) interim chief executive failed to rule out a return to commission payments.
The Financial Conduct Authority is considering reintroducing limited commission payments for certain retail products.
Standard Life Investments (SLI) has written to financial advisers informing them that they will no longer receive renewal commission on SLI retail class shares from 31 March 2016.
Old Mutual Wealth is teaming up its various divisions, including Old Mutual International and Quilter Cheviot, to offer an all-round service to investors in South Africa ahead of next year’s Retail Distribution Review.
South Africa’s asset managers need to learn from the UK’s Retail Distribution Review experience and work in partnership with financial advisers when implementing next year’s regulatory changes, according to Brooks Macdonald International’s business development director.
Ahead of RDR implementation in South Africa, IFAs would do well to consider whether to stay independent and seek other sources of revenue, or pool together to minimise governance expenses, explains Derek Smorenburg, the man behind the South African Independent Financial Advisors Association (SAIFAA).
Life companies in South Africa could “run into trouble” if they do not start working on changes to their businesses soon, said a senior figure for Old Mutual, ahead of the country’s imminent Retail Distribution Review.
One of the unforeseen consequences of RDR is that the choice of funds available to investors is narrowing, says Richard Garland, managing director, Americas and Japan client group, at Investec Asset Management.
Multi-currency offshore platform Novia Global is ready to go live at the end of the month, offering a streamlined system for advisers serving expats across different jurisdictions.
The UK Government’s decision to launch a review of the financial advice market could lead to some dramatic changes in the way financial planning is delivered to clients in the future.
UK independent financial advisory businesses have risen in value by around 8% this year as regulatory reform helps drive M&A activity, according to online business valuation provider BizEquity.
