Investment funds could soon be subject to new rules from the Financial Conduct Authority (FCA) as a result of the suspension of the Woodford Equity Income fund last week.
In the wake of the gating, the FCA is considering a ban on daily withdrawals from funds holding illiquid assets and forcing funds to keep to assets in jurisdictions chosen by investors, its chief executive Andrew Bailey has warned. Writing for the Financial Times, Bailey (pictured) said the regulator would consider "lessons" learned from the Woodford meltdown as it finalises new rules based on its ongoing consultation on illiquid assets and open-ended funds. However, he acknowledged wider changes affecting investment funds would have to be done at an EU level, under the UCITS directiv...
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