29 Feb, 2008
John Lappin - 29-Feb-2008
FSA says it has strong concerns about advisers white labelling
their own funds and warned it will not tolerate any return to the
worst practices of broker funds.
Speaking at a Cicero Consulting conference today in London, FSA
director retail policy and themes and asset management sector
leader Dan Waters said the FSA had concerns about potential
conflicts of interest and warned firms must be very careful such
funds are run to a high standard.
He said: "We will take a very dim view of any firms that bring a
return to the worst aspects of broker funds".
IFDS group executive business development David Moffat, who has
worked with a number of adviser firms to set up their own white
labelled funds, told delegates he believed much of the concern in
this area is not warranted.
He said in many cases the TER is lower for clients and the IFAs
are not involved in the running of money.
More to follow.