Independent Financial Life Planners Bishop's Stortford: Omission of passive funds warns FCA

Monday, 29 September 2014

Omission of passive funds warns FCA

Enable’s IFA’s in Bishop’s Stortford are glad to see that the FCA is looking into investor complaints that popular fund rating websites are consistently leaving out passive funds from their performance tables, as reported by the Financial Times. “Fund rating websites such as Morningstar OBSR and FE Trustnet sometimes do not include trackers when displaying funds’ performance which could make it hard to determine the best and worst options within a sector” says the FT.

Tracker funds are ideal for those who want to invest but don't want the hassle of picking shares and want to avoid the costs of using active fund managers. These tracker funds do not use the concept of trying to beat the market by cherry-picking a selection of shares instead they are designed to follow a set index, such as the FTSE 100.They can keep costs ultra-low and while they may not beat the market they don’t fall far behind it - the idea is that slow and steady investing wins the race and it is possible to get cheaper better performance by just following an index.

The FCA says regulated firms told the FT it expects “any regulated firm to present information to consumers in a way that is clear, fair and not misleading” and that it will “always consider the information we receive” in response to investor complaints. Enable's Independent Financial Advisors in Bishop’s Stortford and available to talk you though the best way to make the most of your wealth management options.

Issued by: Enable Independent Financial Life Planners
25c North Street, Bishops Stortford, Herts CM23 2LD
Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

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IFA Bishop's Stortford

At Enable Independent we know that our clients trust us and rely on our advice to help them to plan a better, more secure financial future. This is a responsibility that we take very seriously especially because we know that many clients have chosen us on the recommendation of friends and family. Each one of our advisers has deep expertise in their area of specialist knowledge and, as a team, we hold some of the highest qualifications available in the financial advice industry.

Our job satisfaction comes from using our skills to find workable, affordable and flexible solutions to meet our clients needs. Whether we are planning for known future funding requirements such as house purchase, school fees or income in retirement - or for the unforeseen such as job loss, long-term illness or early death, our independence from any product provider enables us to view the marketplace impartially. Our training permits us to look beyond a product's marketing hype and select on the basis of its fitness for purpose.