The FSA has flagged plans to stop fund managers accepting research and analytical tools from brokers...
The FSA has flagged plans to stop fund managers accepting research and analytical tools from brokers as soft commissions on execution deals placed with them. Its Consultation Paper 176 'Bundled Brokerage and Soft Commission Arrangements' said UK fund managers paid about £2.3bn in commissions from clients' funds in 2000, with as much as 40% of this going on additional services other than the cost of trade execution. Dealing screens, computer terminals which supply market news and data, account for up to 57% of soft commission credits, the FSA said. 'As with all charges, commission cost...
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