(IBS Intelligence) -- European asset managers are becoming increasingly concerned about the transparency of their board decisions following the rising regulation and scrutiny on the industry.
The survey by eShare involved 50 European asset managers, out of which 43% don’t think there’s enough transparency to keep up with MiFID II regulations, which came into effect on 3 January.
Alister Esam, CEO of eShare, said that the need to meet the requirement of the increasing regulation had also introduced a great deal of complexity. “This complexity means board decisions are in the spotlight more than ever and so transparency into that decision-making is essential. Could asset managers be doing more to demonstrate how they arrived at certain decisions?”
The survey also highlighted the ongoing importance of governance and compliance, with 91% of respondents claiming it was among their top priorities.
The survey also found 48% of European asset management professionals said their firms were “highly concerned” about the uncertainty and lack of clarity surrounding the Brexit negotiations.
Esam commented: “With a complete lack of clarity over what will occur in the asset management sector when the UK leaves the EU in 2019, it is no surprise that so many asset managers are concerned about what the future will hold. It makes preparation that much harder, but also highlights the need for transparency into decision making, with some potentially far-reaching decisions to be made over the coming 12 months.”