We plan to simplify reporting requirements for funds’ assessments of value.
The UK is the largest asset management centre in Europe, and second only to the US globally. The proposed change helps reduce costs for asset managers, boosting competitiveness, without affecting consumer protection.
We are consulting on these changes, having committed to doing so only in March.
We received feedback[3] during our Consumer Duty Call for Input that the current assessment of value reporting requirements were onerous, provided little investor benefit and overlapped with the Consumer Duty.
We consider that removing the requirements will lead to a significant cost saving for 149 firms who manage more than 3900 funds.
This is part of the wider work to streamline requirements for firms, including our plans for a more proportionate regime for alternative asset managers[4].
We also recently set out proposals to remove several reporting requirements[5] that are no longer necessary.
Nike Trost, interim director of buy-side, FCA, said: ‘These changes will have a real impact, reducing costs and saving time for asset managers to deliver on what’s important to their investors.’
The consultation is open until 11 July 2025.