ShareSoc News

The FCA’s proposed Consumer Duty is welcomed by ShareSoc – Radical change is needed

ShareSoc has delivered an 8 page response to the FCA's consultation: A new Consumer Duty : FCA Consultation Paper CP21/13. We made the following key points: We welcome the proposed new Consumer Duty, which will set clearer and higher standards. For too long, retail consumers of financial products and services have been treated unfairly. Too often, the financial services industry has exploited weaknesses in the financial education, knowledge and behavioural biases of customers to charge excessive fees and deliver unsuitable products. We find it disappointing ...

Takeover Guidance

Lord Lee of Trafford and Patron of ShareSoc has been invited to meet the new chief of the Takeover Panel, Ian Hart. This follows Lord Lee's actions earlier this year including a Parliamentary Question and a major article in the Times. Backed by ShareSoc, he lobbied for companies to let their owners (their shareholders) know as soon as possible about potential bids, even if they have to say “there can be no certainty that an offer will ultimately be made”. He ...

Woodford Campaign Update 6
10 July 2021

1. Leigh Day, whose claim ShareSoc has endorsed, submitted their Letter Before Action (LBA) to Link in March and Leigh received a reply from Clifford Chance (on behalf of Link) in June, which they are now reviewing. 2. The FCA published a new report on Authorised Fund Managers (also referred to as ACDs), on 30 June. This highlighted the importance of the role Link should have played and in our view further supports the strength of the Leigh Day claim. Our comments ...

ShareSoc and UKSA response to FCA Discussion Paper DP21/1 – Strengthening our financial promotion rules

ShareSoc and the UK Shareholders Association made a joint submission on the FCA Discussion Paper DP21/1 Strengthening our financial promotion rules for high-risk investments and firms approving financial promotions. In a 9 page response to the FCA, we noted: ShareSoc and UKSA represent the views of individual investors (aka retail investors). We have combined over 8,000 members. This is an important discussion paper and we welcome the chance to submit our views. We would be happy to meet to give further background. We think there ...

Audit Reform; ShareSoc & UKSA joint response to BEIS Consultation

ShareSoc and the UK Shareholders Association made a joint submission  in a massive 77 page response to the BEIS consultation "Restoring trust in audit and corporate governance". Our full consultation response is here: BEIS-Restoring-trust-in-audit-and-corporate-governance-Joint-response-from-UKSA-and-ShareSoc-1-July-2021 The FCA consultation document can be read here: https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/970673/restoring-trust-in-audit-and-corporate-governance-command-paper.pdf Key Points: Stakeholder and wider public trust in the credibility of directors’ reporting and the statutory audit has been shaken by a succession of sudden and major corporate collapses which have caused serious economic and social damage. We consider that these collapses ...

ShareSoc & UKSA response to FCA Consultation CP21/12 = Proposals should be scrapped!

ShareSoc and the UK Shareholders Association made a joint submission on the FCA Consultation FCA CP21/12: A new authorised fund regime for investing in long term assets. In a 12 page response to the FCA consultation, we concluded the idea of LTAFS was ill-founded and these proposals should be consigned to the scrap heap. We also said that no new type of fund should be contemplated until the FCA had reported on its Woodford investigation. Our full consultation response is here: FCA Consultation Paper LTAF ...

Policy and Campaigns – Progress Update 14 June 2021

ShareSoc News Item by Director Cliff Weight In May and early June, we worked on: Woodford Campaign: Leigh Day received their response from Clifford Chance to their LBA (Letter Before Action). It looks like the case will go to court but it could take 3 more years. Leigh Day remain the only claim with insurance and funding in place. Harcus Parker have funding but do not have ATE insurance. RGL have neither insurance nor funding (other than funding for an initial ...

Woodford Debacle – FT invites you to tell them what you think

ShareSoc News item by Cliff Weight. The FT on Friday 21 May asked for views from investors with money trapped in Neil Woodford’s former fund. It said: Nearly two years on from the collapse of Neil Woodford’s flagship fund, more than 300,000 investors are still waiting to recoup their money — and FT Money would like to hear from readers affected by the fallout. The FT asked specifically about these 6 questions. As the liquidation process drags on, what impact has this had on your ...

Investment Trusts – Update on Progress

ShareSoc News Item: Below is an article from guest contributor Annabel Brodie-Smith, who is the Communications Director at the AIC. Investment Trusts are a very important part of investing, with AUM of £250 billion. They are arguably better, and better value, than funds. For new investors half a dozen investments trusts or passive ETFs or a mix of both are arguably the best way to start on your investment journey. Most sophisticated investors have at least part of their wealth invested in ...

Final Step in Integrating SIGnet with ShareSoc

The final step in completing SIGnet's merger with ShareSoc is to create a new website for SIGnet. To facilitate this we have made some changes to the ShareSoc website and its menu system - including links to where the new SIGnet website resides. That new website is currently under construction, with some pages incomplete or not yet created. Until it is complete, please refer to SIGnet's current website at http://www.signet.org.uk/ for further information about SIGnet. When the new site is complete, that ...