LONDON (Reuters) - British fund manager JO Hambro Capital Management said on Tuesday it would absorb the cost of paying for investment research in order to meet new European rules due to come into force in January 2018.
Fund managers across Europe must break out the price of research from other broker services from Jan. 3 under new European Regulation and either pay for it themselves or get agreement from investors to pay for it separately.
JO Hambro joins a growing list of fund managers who have pledged to pay for research themselves, including Vanguard and JPMorgan Asset Management.
The cost of buying in research from external providers is expected to cost the active asset manager around 5 million pounds a year, JO Hambro said in a statement.
Reporting by Simon Jessop; Editing by Rachel Armstrong