Stay connected:
Citywire printed articles sponsored by:
View the article online at http://citywire.co.uk/wealth-manager/article/a657102
M&G to make funds as easy to trade as shares in landmark Crest deal
Markets
by Emma Dunkley on Feb 08, 2013 at 08:05
Furthermore, once the funds are registered on Crest, they can be moved between investors almost immediately, allowing for automatic re-registration.
As M&G is one of the biggest fund groups in the UK, managing over £200 billion as of last September, the move sets a precedent for fund providers and opens the way for other large groups that have expressed interest in the electronic settlement process.
M&G was unable to comment.
News sponsored by:
Today's top headlines
More about this:
More from us
- M&G to merge Felton’s UK equity funds
- Nick Sketch: Negative gilt/equity correlation is trap for the unwary
- Do investment bank job cuts make Barclays a buy opportunity?
Archive
Aberdeen Live supplement: Fundamentals point to ongoing flows and solid returns from EMD
After a record year for inflows and market-leading performance in 2012, emerging market debt has taken a large step towards the mainstream. Our recent debate covers the outlook for the asset class this year and where opportunities can be found.
On the road
Click here to find out more from the Audience Development team.
4 comments so far. Why not have your say?
Not all ETF's are the same
Feb 08, 2013 at 08:25
This is excellent news, and long needed. The mutual fund industry is massive and ultimately clients should benefit through improved administration, quicker settlement, lower costs and better transparency.
Let's hope this is the start of many. Well done M&G
report thisAndy Y
Feb 08, 2013 at 10:52
This might be a stupid question but this wouldn't mean a move towards having the same cost of trading shares?
I much prefer the fact that most platforms allow me to switch OEICs/UTs for free whereas it costs between £6-£15 to switch shares and ITs. I'm willing to accept a 2/3 day delay for free switches!
report thisAlan Beaney
Feb 08, 2013 at 12:13
Good news however that only solves one of the problems as a centralised dealing platform is also required. I think the latter may be a long time coming given the vested interest involved!
report thisPre-funding via mobile
Feb 10, 2013 at 20:45
Sounds very interesting, as there is a cost for dealing shares I'm assuming the crest versions will have reduced TERs to counter the cost of free switching via most trading platforms?
report thisleave a comment
Please sign in here or register here to comment. It is free to register and only takes a minute or two.