It's Time to Put Investors First

Editor's Views: It's worrying that many fund firms have concluded all of their funds are good value for money and that no changes are needed

Holly Black 9 July, 2021 | 10:52AM
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Too many funds simply aren’t providing good value to investors. They charge too much, they return too little, and they don’t embrace the economies of scale.

The FCA this week came to the same conclusion in its assessment of Assessment of Value reports. These were introduced last year, mandating fund companies to assess at least once a year whether their funds were hitting the mark. The trouble, of course, when you ask a company to judge its own performance, is it tends to be pretty lenient. The notion that “you’re your own worst critic” doesn’t seem to apply to a lot of fund groups.

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About Author

Holly Black  is Senior Editor, Morningstar.co.uk

 

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