AIC welcomes FCA listing rules review
Regulator will be considering shareholder rights and conflicts of interest.
The Association of Investment Companies (AIC) has welcomed the FCA’s announcement today that it will be bringing forward a review of the Listing Rules for investment entities, including an assessment of how the rules “ensure that boards support strong shareholder rights and engagement and manage conflicts of interests”.
Richard Stone, Chief Executive of the Association of Investment Companies (AIC), said: “Following our call for the regulator to get to grips with the threat posed by Saba Capital, it’s encouraging to see today’s statement from the FCA. This review is an opportunity to ensure that the rules protect all shareholders’ rights where there is a minority shareholder with an outsized influence on a company. The rules must prevent takeovers by the back door and address potential conflicts of interest where a minority shareholder seeks to gain control. The review should also ensure that shareholders have sufficient information to vote on key issues and can hold any nominated directors up to proper scrutiny. We welcome this review and urge the FCA to publish its proposals swiftly to address concerns about gaps in the rules and make sure shareholders are protected.”
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Notes to editors
- The Association of Investment Companies (AIC) represents a broad range of investment trusts and VCTs, collectively known as investment companies. The AIC’s vision is for closed-ended investment companies to be understood and considered by every investor. The AIC has 276 members and the industry has total assets of approximately £268 billion.
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