TISA launches MiFID II Costs & Charges implementation guide
TISA, the investments and savings membership organisation, has published an approach to implementation guide for MiFID II Costs & Charges disclosures to help asset management and distribution firms prepare for the introduction of the provisions on 3 January 2018.
The guide, which has been prepared by a TISA executive committee with input from 70 firms, is intended to provide an industry-wide approach to the practical aspects of implementing the Costs & Charges disclosure, and to provide guidance about recommended good practice.
Examples of how pre-sale and post-sale reporting could be presented to investors are given in the guide, set against an overriding aim to make such disclosures clear and as straightforward as possible.
Jeffrey Mushens, TISA Technical Policy Director said:
“MiFID II Costs & Charges disclosure is an important part of MiFID II implementation and presents some of the most difficult technical challenges to firms, whether asset managers, distributors or advisers.
“FCA objectives highlight the need to enable investors to receive clear and simple information about the costs they pay for asset management services. We believe the benefits for investors from this guide will be the adoption of a standardised way of showing the costs & charges of investing, from investing in market securities through asset management costs and the costs of distribution and advice.”
Costs & Charges is the latest guide to be published by TISA as part of its support programme to help the industry prepare for, and implement, the Directive. TISA’s MiFID II guides are:
• Costs & Charges Disclosures – Approach to implementation
• Target Market Reporting Specification
• Product Governance – Good practice guide for product distributors and product manufacturers
• Appropriateness – Approach to implementation
Building on the guides, TISA is also currently scoping an industry led project with investment and infrastructure providers to develop a common solution to the collection and distribution of investment fees, charges and target market information. This will be designed to deliver improved consumer outcomes, together with operational, risk and cost benefits for providers and distributors.
The guides are available, free of charge, on the TISA website: www.tisa.uk.com
Ends….
Issued on behalf of TISA by Atlas Partners, for further information please contact:
Sarah Evans, telephone: 020 7183 7154 or 07717 058682, email sarah.evans@atlas-partners.co.uk
Email: tisa@atlas-partners.co.uk
Notes for Editors
TISA is a unique, consumer focused membership organisation. Our aim is to improve the financial wellbeing of UK consumers by aligning the interests of people, the financial services industry and the UK economy. We achieve this by delivering innovative, evidence based proposals to government, policy makers and regulators.
TISA’s growing membership comprises more than 170 firms involved in the supply and distribution of savings and investment products and services. These members represent all sectors of the financial services industry, including asset managers, insurance companies, fund managers, distributors, building societies, investment managers, third party administrators, FinTech, consultants and advisers, software providers, financial advisers, pension providers, banks and stockbrokers.
Current themes of TISA policy work include:
• Brexit: developing proposals for government that will enable the savings and investments sector to prosper on a global scale
• Digitalisation: a digital identity for consumers of financial services, innovation, standards and data responsibilities
• ISA’s: LISA, simplification of the regime
• Retirement saving: the Auto Enrolment review, self-employed and pension tax relief
• Housing: the use of property to supplement retirement income
• Guidance: developing a framework and services to make guidance more widely available
• Education: supporting the education of young people to make them aware of the impact of finance on their life.
TISA also provides support on a range of operational and technical issues targeted at improving infrastructure and processes, standards of good practice and the interpretation and implementation of new rules and regulations. TISA has a successful track record in working cooperatively with government, regulators, HMT, DWP and HMRC to improve industry effectiveness by reducing cost and risk and to enhance customer outcomes. This work currently includes: MiFID II, CASS, the UK Fund Trading & Settlement initiative and Payments Strategy Forum. TISA Exchange (TeX) is providing a model for transfers and re-registrations.