MiFID will distort FSA rulebook, warns AIFA

Fay Goddard, deputy director general of AIFA, points out the FSA is in the process of cutting the size of its handbook by 50% as part of its move towards more principles-based regulation, but at the same time it is required to include very detailed MiFID rules. She states: “This means we don’t end up with a principles-based high level rulebook and if someone is completely new to the industry they might think there is undue emphasis on something. MiFID leaves the rulebook with a degree of distortion.” Callum McCarthy, chairman of the FSA, says the regulator is committed to a rebalancing ...