FCA review of the asset management industry

The Financial Conduct Authority’s interest in pensions is ever-increasing, with its attention most recently turned to the asset management industry and the publication of a report and consultation paper that includes consideration of the provision of investment advisory services to institutional investors (of which pension scheme trustees are the biggest group).

The attached newsletter explains the scope of the review, the FCA’s concerns, and some proposed remedies. For the time being, there is no action that trustees must take, although the expectation of change presents a good opportunity to schedule a review of asset management performance, including issues such as transparency.

We will of course update you as the review progresses. In the meantime, please do not hesitate to speak with your usual Linklaters pension contact if you would like to discuss these issues further.