UPDATE: CMA proposes mandatory tenders for FM mandates but spares investment consultant market from widespread change
Investment consultants have been spared a major shake-up in their operations and business models after an investigation by the competition watchdog proposed just a handful of remedies.
The Competition and Markets Authority (CMA) will publish its provisional decision as to whether there are adverse effects on competition in the investment consultants market on the morning of 18 July.
Respondents were split in this week's Pensions Buzz on whether the £1m maximum penalty for failing to notify The Pensions Regulator (TPR) of certain corporate events was appropriate.
The number of pension schemes retendering for investment consulting services has dropped sharply over the last decade, IC Select research reveals.
The investment consultant and fiduciary management market "may not be working well for pension schemes which are not engaged", the Competition and Markets Authority (CMA) has said.
Regulation aimed at improving the governance of occupational pension schemes has left the sector "regulated to the lowest common denominator" with a "prescriptive and micro-managerial approach".
The Competition and Markets Authority (CMA) has published three working papers as part of its probe into investment consultants and fiduciary managers - saying it has no concerns over concentration in these markets.
The time and costs involved in the process of tendering and/or switching a fiduciary manager can be 'considerable' and may make it more difficult for schemes to assess value for money and switch provider.
The CMA's latest working paper finds trustees are very likely to choose their existing investment consultant for a fiduciary management mandate without third-party advice, James Phillips reports
Investment consultants are failing to recommend products that outperform net of fees, the Competition and Markets Authority (CMA) has said as its investigation into the market continues.
CMA: Competitive processes not providing trustees with 'necessary information' to judge value for money of ICs and FMs
The Competition and Markets Authority (CMA) has released a working paper detailing its analysis around the information available to trustees on the fees and quality of investment consultants and fiduciary managers.
Rory Murphy, trustee chairman of the Merchant Navy Officers Pension Fund (MNOPF), says trustees must do more to share best practice in bid to improve outcomes.
The Competition and Markets Authority has (CMA) set out the coverage of its "thorough and independent" investigation of investment consultants and fiduciary managers, and what action it could decide to take.
LCP's Philip Boyle explains why he believes the CMA review will help set the investment consultancy market free.
The Pensions and Lifetime Savings Association (PLSA) has urged the Financial Conduct Authority (FCA) to refer the investment consulting market for a competition investigation.
Fiduciary management is undoubtedly a sound product - and can help many trustee boards speed up decision- making, bolster effectiveness and improve outcomes.
The FCA's eagerly anticipated final report of its asset management market study suggests an investigation of the investment consulting market, James Phillips reports.