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FACTBOX-Asset managers' plans for handling investment research costs under EU's MiFID-II
October 10, 2017 / 1:11 PM / 13 days ago

FACTBOX-Asset managers' plans for handling investment research costs under EU's MiFID-II

 (Adds Artemis Investment Management)
    Oct 10 (Reuters) - New regulations taking effect next year
will force brokers in the European Union to charge clients
separately for investment research, rather than bundling the cost
in with trading services. 
    Part of a wide-ranging set of rules under the Markets in
Financial Instruments Directive, or MiFID II, the regulators say
the move is aimed at making European securities markets more
transparent and providing better value for money for investors.
    The MiFID II directive comes into force in January and leaves
asset managers with a choice of whether to absorb the cost of
paying for outside research or pass it on to clients.


 (bit.ly/2y5AJxp)
    Asset managers Janus Henderson, Schroders,
Invesco and  Union Investment have said they plan to pay
for investment research costs themselves, after previously saying
they would pass costs on to clients.
    Here is a breakdown of how asset managers have decided so far
to handle the matter:

 FUNDS PASSING ON COST TO CLIENTS   ASSETS UNDER MANAGEMENT
 Amundi Asset Management            1.12 trillion euros (June 30)
 Deka                               270 billion euros
 Fidelity International             $303.3 billion (June 30)
 Man Group's stockpicking unit GLG  $31.2 billion
 FUNDS ABSORBING COST               ASSETS UNDER MANAGEMENT
 Aberdeen Standard Investments      583 billion pounds
 Allianz Global Investors           498 billion euros (June 30)
 Artemis Investment Management      $35.4 billion (Sept. 29)
 Aviva Investors                    344 billion pounds(Dec. 2016)
 AXA Investment Managers            735 billion euros (June 30)
 Baillie Gifford                    166.6 billion pounds (June)
 Barings                            $288 billion (June 30)
 BlackRock                          $5.7 trillion (June 30)
 BlueBay Asset Management           $51.7 billion (March 31)
 Deutsche Asset Management          711 billion euros (June 30)
 Goldman Sachs Asset Management     Over $1 trillion
 Hermes Investment Management       30.1 billion pounds (June 30)
 HSBC Global Asset Management       $413.4 billion (December)
 Invesco                            $876.9 billion (July 31)
 Janus Henderson Group              $345 billion (June 30)
 JO Hambro Capital Management       29.2 billion pounds
 JP Morgan Asset Management         $1.87 trillion
 Jupiter Fund Management            $60.15 billion (June 30)
 M&G Investments                    264.8 billion pounds(Dec 31)
 Majedie Asset Management           14 billion pounds
 Newton Investment Management       55.2 billion pounds (June 30)
 NN Investment Partners             245 billion euros (June 30)
 Russell Investments                $277.2 billion (June 30)
 Schroders                          $536 billion (June 30)
 SVM Asset Management               593 million pounds(August)
 T Rowe Price                       $903.6 billion
 UBS Asset Management               647 billion euros(June 30)
 Unigestion                         $23.9 billion
 Union Investment                   310 billion euros(June 30)
 Vanguard                           $4 trillion (Dec 31)
 Woodford Investment Management     17.8 billion pounds (May 31)
 
($1 = 0.8489 euros)

($1 = 0.7584 pounds)

 (Compiled by Noor Zainab Hussain in Bengaluru and Carolyn Cohn,
Maiya Keidan, Simon Jessop and Helen Reid in London; Editing by
Alexander Smith, Susan Fenton, Mark Potter, Jane Merriman and
Louise Heavens)
  

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