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FCA draws blank on fund managers breaching 10% portfolio drop duties

The FCA does not collect data to check if firms have been notifying clients of a 10% portfolio drop

FCA chief Nikhil Rathi wants to become a ‘data and digital-first regulator’, but has been criticised over lacking information to police rules
FCA chief Nikhil Rathi wants to become a ‘data and digital-first regulator’, but has been criticised over lacking information to police rules Photo: Chris Ratcliffe/Getty Images

The Financial Conduct Authority is unable to say how many fund managers are flouting rules that require them to notify investors when their portfolios suffer a double-digit drop, Financial News can reveal.

Following the introduction of Mifid II in 2018, UK discretionary fund managers and advisers overseeing portfolios were obliged to inform clients when the value of their investments drop by more than 10%.

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