FSA: Platform rules will drive down fund prices

In its consultation paper, the watchdog said it would be "surprised and disappointed" if the unbundling process - whereby the fund, platform and adviser charges are separated - did not lead to falling fund prices. The FSA also said the move towards clean share classes will result in greater pressure being applied to the headline price of retail funds. "With the introduction of clean share classes, advisers would find it difficult to justify recommending funds that are priced at a significantly higher level," it said. "The competition analysis research (conducted by Deloitte on beha...