The number of potential closet trackers identified by Investment Adviser research has declined substantially in the past 12 months, from 15 in 2015 to just four. Research into closet trackers has grown more popular, with Morningstar recently releasing a study of the active share of European large-cap funds between 2005 and 2015 that shows 20.2
The European Union’s securities regulator is looking at what action to take after finding that up to 15 percent of actively managed funds may be misleading investors by covertly tracking a stock index. Indeed consumers have long suspected some of the funds that charge them higher fees to scour the market for the best picks
In an article published yesterday in the Financial Times Guillaume Prache of BETTER FINANCE and Carl Rosén of the Swedish Shareholders’ Association were quoted on the topic of closet tracking funds. BETTER FINANCE highlighted the fact that it had already reported its concern to ESMA (the European Securities and Markets Authority) that “closet trackers” overcharged
Free translation of French article on Finance and Regulation Following Bruegel, it was BETTER FINANCE’s turn to bring European policymakers and stakeholders together in Brussels to discuss the CMU project. BETTER FINANCE is an NGO funded by the European institutions, fighting for a financial system at the service of individuals and the real economy. Up
BETTER FINANCE’s "Pension Savings: The Real Return" was mentioned in an article in RuConnect. The article focused on the British pension systems and how only rich pensioners are in the position to take advantage of changes on the pension tax system. "The majority of older Britons have very little savings (on average about 25 thousand
Guillaume Prache, Managing Director at Better Fiannce, was quoted in the Financial Time on the postponement of the vote on the regulations aimed at setting tougher standards for benchmarks such as Euribor and the improvement of investor protection. The vote, expected last week, was postponed following last-minute legal objections from the Social Democrat and Green political parties. Being one
EuroFinUse’s Report “Private Pensions: The Real Returns” was quoted in Investments and Pensions Europe in an article dealing with the sale of private pensions in Belgium. The report was shown during a symposium aimed at informing future pensioners about pensions in Belgium. Conspicuously absent at the symposium in question was critical information on issues such
In 2014, BETTER FINANCE, had asked ESMA to carry out an EU-wide investigation on closet indexing. At the beginning of February 2016, ESMA eventually released results of its investigation but failed to disclose those funds that were uncovered by its investigation as potentially falsely active. BETTER FINANCE therefore decided to replicate the research by ESMA
Politicians, investor rights groups and asset managers have made an eleventh-hour attempt to convince European officials to amend proposed investment rules over fears they could be “vastly misleading” and a “huge blow to investor protection”. The new rules which are set to come into force next year and are aimed at making investment products safer
BETTER FINANCE was mentioned in several articles covering the story by Reuters on Closet Index Trackers. Reuters & Yahoo Finance: "EU watchdog considers action against "closet" tracker funds." Closet Indexing Finally on ESMA’s Radar? For years now the active management of investment fund portfolios has suffered negative criticism with financial headlines relegating the failing practice