Asset managers pay out £34m compensation to investors after FCA action

Latest News

Asset managers pay out £34m compensation to investors after FCA action

By Adam Cadle

05/03/2018

Investors are set to be paid £34m in compensation from asset managers overcharging them for investment funds, with another asset manager being pursued by the FCA.

The news comes as the FCA investigated the widespread issue of ‘closet tracker’ funds.

‘Closet tracker’ funds charge investors higher ‘active’ fund management fees, but deliver fund performance that simply tracks a benchmark or index.

Transparency Task Force founding chair Andy Agathangelou said: “I think this is hugely positive news for investors, particularly long-term pension savers, right around the world; and that it can become a platform for further change and reform.”

“There’s been a smoking gun on the awful issue of closet trackers for years so whilst it’s a case of ‘better late than never’, the FCA deserve great credit for chasing down this issue so tenaciously since their Asset Management Market Study.”

The UK housing market in 2024

The performance of the UK housing market in 2024 has largely exceeded many people's expectations, although challenges remain for first-time buyers due to house prices increasing and a testing rental market for many. Regional disparities, such as the North-South divide, also continue to influence housing accessibility and affordability for many buyers in pockets of the country.

Intergenerational lending

MoneyAge News Editor, Michael Griffiths, hosts Family Building Society BDMs, Amar Mashru and Arif Kara, to discuss intergenerational lending and explore ways that buyers can use family income to help increase their borrowing capacity when applying for a mortgage

Helping landlords make their cash work harder

MoneyAge Editor, Adam Cadle, talks to Family Building Society BDMs, Arif Kara and Nathan Waller, about the resilient BTL market, the wide variety of landlords that Family Building Society caters for, and how niche products like an Offset mortgage can help improve cashflow.