The Financial Conduct Authority has launched a consultation on plans to simplify how platforms, advisers and wealth managers communicate costs to retail investors.
The changes are aimed at aligning cost disclosure requirements derived from the Markets in Financial Instruments Directive (MiFID) with the FCA's Consumer Composite Investments (CCI) regime, which the regulator finalised last year. Under the proposals, distributors would be required to present their own costs alongside product costs consistent with the CCI format when selling products, and account regularly for the total cost of investing. Additionally, firms would be required to show how costs have impacted returns in regular post-sale reporting, removing the MiFID-derived cumulati...
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