A breakaway movement of platforms pushing for special share classes could create a ‘cartel' between bigger firms, according to Axa Elevate.
The decision of larger firms to push for ‘super-clean' funds follows HM Revenue and Customs' decision to tax rebates. Platforms have been consulting legal teams over the validity of such a deal. Yesterday, Standard Life said it "remained comfortable" that moving to preferential share classes complied with competition law, despite possible challenges from rival platforms. But regardless of the legality of such a move, a small number of adopters could create a platform "cartel" hindering easy transfer of assets, said Elevate distribution director Shaun Sandiford. "Before re-registrat...
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