Fidelity switches to performance-based fee model
Fidelity International is the first major asset manager to make a switch to a “value for money” charging structure. The asset manager will give money back to clients when its funds underperform.
Fidelity International is the first major asset manager to make a switch to a “value for money” charging structure. The asset manager will give money back to clients when its funds underperform.
Fidelity International has decided it will pass on costs for external research under Mifid II to clients.
The British asset manager Schroders and its German peer Union Investment announced on Friday they would absorb all external research costs under Mifid II. Both companies had previously said they would pass some of these costs on to clients.
The US Federal Reserve announced it will begin to unwind its quantitative easing programme in October, and said another rate hike this year is likely despite persistently low inflation.
Stark differences in regulatory interpretation among the 28 members of the European Union means that Mifid II could end up defying its purpose and result in a “fragmented” single market.
Deutsche Asset Management and Franklin Templeton are the latest firms to reveal they will take on the cost of research once Mifid II comes into force next year.
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One-stop shop funds that take away responsibility for asset allocation have continued to be the blockbuster sellers with European investors. But which other asset classes have actually seen the strongest inflows over the past three years? The answer may surprise you.
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Investors have continued to funnel astronomic amounts into passive funds across the globe this year, with Vanguard leading the way. Meanwhile, Goldman Sachs AM (GSAM) has been suffering its worst streak of outflows on record.