Skandia hits out at 'spurious' fund descriptions

The platform says half of all Cautious Managed funds invest in alternative investment strategies - including futures, foreign exchange, private equity and structured products - none of which fit the cautious description. Having a consistent, standardised risk score, as proposed under UCITS IV regulations, will help funds better illustrate their level of risk and prevent further miss-selling scandals, it says. "Barclays has already been hit with a record fine for miss-selling Aviva's Global Cautious Income and Global Balanced Income funds and is having to pay out tens of millions in co...