FSL Chain Mail (11th November 2019)

At FSL, we monitor market news to understand the issues faced by our customers and their clients.  Following our recent CGiX User Group, many customers showed an interest in being kept up to date on the key areas so we have launched FSL Chain Mail.  This will be a regular blog containing links to news articles that we think are worth sharing.

In this first edition, we focus on recent announcements from the FCA regarding their plans to increase innovation in the investments industry by adapting and expanding its sandbox.  FT Adviser reports that the FCA’s Chief Data Officer, though pleased with the progress that the sandbox has made, is keen to see some new “offerings from the asset management and retirement savings sectors”.   Money Marketing focuses on the need for the FCA to “adapt to keep pace with technology-led change in the markets it regulates”.

An area that seems to be regularly in the news is ESG.  Wealth Briefing reported results from the 500 largest asset managers globally and stated that ‘amid declining global AUM, ESG Shines” with AUM up by 23% compared to an overall decline of 3% during 2018.  However, it’s not all rosy for ESG.  Portfolio Adviser highlighted the issue of greenwashing in the investment industry with the FCA being counselled to “launch an urgent review of the UK ethical investment sector”.

At a time when Brexit and the election has led to unstable markets there was some positive news, The Telegraph headline read “Investors desert Eurozone stocks far more than in UK”.  The article claims that “investors have pulled money out of European stocks at almost double the rate seen in Britain since before the Brexit referendum, despite political deadlock casting a shadow over the London market”.

Look out for our next edition with more FSL Chain Mail links.