IMA says groups should 'abandon' all use of AMCs

The Financial Conduct Authority (FCA) has today urged fund groups to move away from annual management charging structures towards ongoing fund charging. IMA chief executive Daniel Godfrey said: "The IMA's guidance has long been that member firms should not refer to the AMC in marketing literature, but should exclusively refer to the OCF [ongoing charges figure]. "The OCF provides a common standard for all the known costs and charges that a fund will bear in a single comprehensive ratio that is easy to understand and to compare. This is in stark contrast to the AMC because a range of o...