Will the RDR hit Europe?

Advisory, research and events business The Platforum has released the results of its “European Platforms and Open Architecture” report.

The report analyses various aspects of the asset management sector such as the distribution and B2B platform; the analysis of data on asset splits and leading fund managers in each market; an international platforms chapter and top fund managers in the open architecture platform world.

The report also included the results from a survey of 100 senior-level employees of fund managers and platforms on trends, who were asked whether they believe the RDR will be implemented in other European countries going forward.

While, the Netherlands has adopted a more stringent version of  the UK’s RDR with commission banned across a wider range of products including mortgages, for example, the report highlighted.

Less than a third (28%) believe we will see the same blanket ban of
commissions as in the UK and the Netherlands. Nearly three quarters of respondents believe that changes to commission will be less extreme across Europe than in the UK and the Netherlands.

Although many individual opinions rage, as a rule of thumb we observe that those markets dealing with a more international client base (Switzerland, Luxembourg) are more likely to believe that RDR-like regulation will indeed come into play. Those markets which are still much more domestic (France, Italy) believe that it’s all about transparency, not a total commission ban.