Britain works out post-Brexit asset management sector
Britain is now in the process of setting out options to enhance its 9.9 trillion pound ($13.59 trillion) asset management sector after Brexit pushed European fund investors were out of the equation.
According to the finance ministry, ideas for change include exempting authorised funds from tax and creating an unauthorised tax-exempt fund structure for investment in alternative assets.
Moreover, the finance ministry also said Britain has no signs of changing delegation that allows a portfolio manager in one country to select assets such as stock and bonds for inclusion in a fund in another country.
With mounting concerns that Britain may not be competitive for retail funds internationally since it is already outside the EU, the British government has been pushed to focus on proposals to lift its reputation as a location for alternative investment funds.
Europe’s largest and second-largest fund industry worldwide was Britain, with almost 9.9 trillion pounds under management.