Uk Lenders: Conduct Authority and Flagship Fund

uk lenders: The Bank of England and the Financial Conduct Authority are considering new rules for the industry after an initial review found problems in the way funds measure and communicate their liquidity or how easy it is to sell and redistribute funds to investors, according to The Guardian. Major UK lenders all pass Bank of England stress tests Read more Woodford's flagship fund was initially suspended in June because of a surge in redemptions that he could not not keep up with as investors rushed to pull out their money after a series of poor market bets. Proposals put forward by City regulators will put the investment sector back in the spotlight after the gating of one of the UK's largest property funds this month and the high-profile collapse of Neil Woodford's investment empire. Among the problems Woodford faced was the proportion of unlisted assets in his Equity Income Fund, which was meant to have a very small amount of illiquid holdings. The Bank of England governor said the rules were meant to address the mismatch between redemption terms and liquidity. It meant Woodford could not sell the assets quick enough to meet redemption requests, resulting in the suspension and eventual wind-down of the fund. (news.financializer.com). As reported in the news.