Fund managers increase pressure over bank fees

Trade bodies begin consultation over sub-underwriting charges, with big institutions supporting a probe into 'rip-offs'

UK institutional trade bodies, supported by a raft of leading asset management firms, have started a consultation over whether they are paid enough to sub-underwrite rights issues.

Standard Life, Schroders, Fidelity and Investec Asset Management are among the managers supporting the probe, led by Douglas Ferrans, chairman of the Investment Management Association trade body. Ferrans said: "There is a belief out there that the banks are ripping off shareholders."

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