BREAKING NEWS

BREAKING NEWS

UK fund manager River and Mercantile slashes provision for FCA probe

Now Reading:

UK fund manager River and Mercantile slashes provision for FCA probe

UK fund manager River and Mercantile slashes provision for FCA probe
Text size Aa Aa

LONDON (Reuters) - British fund manager River and Mercantile Asset Management <RIV.L> cut its provision for an investigation by Britain's markets watchdog to 109,000 pounds from a previous one million, it said on Friday.

R&M was one of four asset management firms which may have broken competition law during share sales, the FCA said last year in its first case using its anti-trust enforcement powers.

R&M cut the provision to reflect guidance from the Financial Conduct Authority on the likely size of any penalty, if one were imposed, the company said in a statement.

"The group continues to co-operate fully with the FCA in this complex matter and we will provide further updates when the FCA reaches its final decision in due course," R&M chief executive Mike Faulkner said.

The FCA alleged the four firms - Artemis Investment Management, Hargreave Hale, Newton Investment Management and R&M, shared information about how much they planned to pay for stock deals shortly before prices were officially set.

The main allegations centre on one or more of two listings and a share placing in 2014 and 2015.

R&M, which said in March it was setting aside a one million pound provision, also reported a 2 percent rise in assets under management in the two months to May 31, to 33.8 billion pounds.

(Reporting by Carolyn Cohn, editing by David Evans)

euronews provides breaking news articles from reuters as a service to its readers, but does not edit the articles it publishes. Articles appear on euronews.com for a limited time.