S&S Transfer charges

Aidanmc

I remember reading something recently that some rule was coming in to reduce or ban excessive charges by fund platforms to transfer shares/funds ' in Specie'.
Does anyone know more details about this or when/if its coming in?

eskbanker

The FCA have written a report recommending removal or restriction of exit fees and have started a consultation process regarding its implementation:

https://www.fca.org.uk/news/press-releases/fca-acts-improve-competition-investment-platforms-market
https://www.fca.org.uk/publications/consultation-papers/cp19-12-consultation-investment-platforms-market-study-remedies
https://fca.org.uk/publication/consultation/cp19-12.pdf
https://www.fca.org.uk/publication/market-studies/ms17-1-3.pdf

Aidanmc

Thanks......lots of info!

dunstonh

The vast majority of platforms make no such charges. Only a small minority do. Those that do, "tend" to be the ones with the lower annual charges and a more explicitly charged basis (i.e. paying as you use features and create work).