Financial tax would harm money market and Ucits funds – Efama

Tax_calculationMany money market funds would go out of business if the Financial Transaction Tax (FTT) comes into force, the European Fund and Asset Management Association (Efama) has warned. Efama says recent comments from the European Commission supporting the introduction of the FTT and survey results with positive public response to such proposals highlight that the public have not yet “appreciated the very significant cost impact” that the FTT would have on the long-term savings of EU citizens. As well as the effect on money market funds - who would pay 67% of the tax – the attractiveness of long term savings in equity, bond and balanced funds would reduce and institutional investors may switch their savings away from Ucits funds and towards savings deposits and life insurance products that are not covered by the FTT, Efama says. The trade body has requested the European Commission to re-examine its proposal. ©2012 funds europe

Executive Interviews

INTERVIEW: Put your money where your mouth is

Jun 10, 2016

At Kempen Capital Management, they believe portfolio managers should invest in their own funds. David Stevenson talks to Lars Dijkstra, CIO of the €42 billion manager.

EXECUTIVE INTERVIEW: ‘Volatility is the name of the game’

May 13, 2016

Axa Investment Managers chief executive officer, Andrea Rossi, talks to David Stevenson about bringing all his firm’s subsidiaries under one name and the opportunities that a difficult market...


ROUNDTABLE: Beyond the hype

Oct 13, 2016

The use of smart beta investing continues to grow. Our panel, made up of both providers and users, discusses what the strategy actually means, how it should be used and the kind of pitfalls that may arise when using this innovative investment technique.

MIFID II ROUNDTABLE: Following the direction of travel

Sep 07, 2016

Fund management firms Aberdeen and HSBC Global meet with specialist providers to speak about how the industry is evolving towards MiFID II.