Amundi to absorb MiFID research costs

[December 18, 2017]  (Reuters) - French asset manager Amundi no longer plans to ask clients to pick up the bill for external investment research when new European Union rules come into force in January, a spokesman said on Monday.

People walk near the Amundi company headquarters in Paris, France, October 7, 2015. REUTERS/Philippe Wojazer

The MiFID II directive leaves asset managers with a choice of whether to absorb the cost of paying for outside research or pass it on to clients.

"In the context of MiFID II implementation, and given the consensus, Amundi has decided to absorb into its P&L the costs of external research," the spokesman said.

Germany's Union Investment, Britain's Schroders and U.S. peers Invesco and Janus Henderson in recent months have all changed tack and chosen to absorb the costs rather than pass them on.

Amundi had assets under management of 1.4 trillion euros as of Sept 30.

(Reporting by Noor Zainab Hussain in Bengaluru; editing by Jason Neely)

[© 2017 Thomson Reuters. All rights reserved.]

Copyright 2017 Reuters. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.