Gina Miller has added her support to last week’s report from the Financial Conduct Authority, which highlighted excessive charges and poor price competition in the UK fund management industry, hailing it as “a milestone in UK investors being treated fairly”.
Co-founder of SCM Direct, Gina Miller is an investment manager herself and the spearhead of the True and Fair Campaign which calls for complete transparency of costs and holdings in the UK investment and pension industry.
However, she has more recently hit the headlines for launching a legal fight to force a parliament vote before the government can trigger Article 50 and kick start the process of formally leaving the European Union. The High Court ruled in her favour, but government will be appealing the decision at the Supreme Court on 5 December.
“Regulator has exposed various dishonesties”
Commenting on the FCA report, Mrs Miller says: “Credit where credit’s due. This FCA paper is a comprehensive and well-founded analysis exposing the various dishonesties that have been plaguing the UK investment and pension industry for decades.”
The FCA, she says, has rightly exposed a “lack of price competition in active funds, failure to pass on economies of scale, hidden transaction costs, £109 billion of closet index funds”, and what she describes as “near useless broker ‘buy lists’”.
She adds: “We are pleased that their findings serve to confirm the numerous concerns we have been vocalising through our True and Fair Campaign for the past four years.”
The Investment Association, the industry group representing fund managers, had earlier this year claimed to have proof that stealth charges on investment funds are a non-existent threat. For more on this read Dubious claims: There’s no such thing as hidden fund fees.
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