The FCA has written to the Financial Services Regulation Committee explaining its thoughts on the need for reforms to the disclosure regime. It explains why the FCA has taken the stance it has, including why it does not think it is an outlier in requiring investment trusts to be included in the cost-disclosure and aggregation format. It also explains the work the FCA is doing to resolve the market disruption that results from the requirements, including a recognition that the requirements result in disclosures that are not necessarily useful to end investors. It says it will be looking to reform disclosure as part of the Smarter Regulatory Framework regime.
