A division of Janus Henderson has been fined £1.9m by the UK’s financial regulator for charging retail investors hefty fees on two funds even though it had shifted them towards a passive investing style. The Financial Conduct Authority said the move amounted to “closet tracking”.

According to the FCA, in 2011 Henderson Global Investors (HGIL) reduced the level of active management within two of its equity products: the Japan Enhanced Equity and North American Enhanced Equity funds.