LONDON, April 5 (Reuters) - Asset managers will have to assess each year how much value for money they offer investors, Britain’s markets watchdog said on Thursday.
The Financial Conduct Authority said that asset managers will have 18 months to prepare for a requirement to make an annual assessment of value, “as part of their duty to act in the best interests of the investors in their funds”.
Fund managers will also have to appoint at least two independent directors to their boards, the FCA added in a statement.
The watchdog also launched a further consultation on remedies related to funds providing better information about their products, covering how fund objectives can be expressed more clearly to investors and benchmarks the fund uses for tracking performance.
The proposals build on the watchdog’s sweeping review of the UK’s 7 trillion pound asset management sector published last June.
Reporting by Huw Jones, editing by Sinead Cruise