Fund management giants M&G Investments and Schroders are understood to be turning their backs on the Investment Association and will not be renewing their memberships that expire in the next few months, Fundweb understands.
The fund groups together manage assets of more than £550bn, representing around 10 per cent of the assets managed by IA members. Both groups have places on the trade body’s board.
“It would be incredibly disappointing to lose any member and we will do everything we can to convince anyone who is considering leaving to stay,” says IA chief executive Daniel Godfrey.
“Our very proactive strategy to help a great investment management industry make investment even better can be uncomfortable at times. But it is not only the right thing to do given the responsibility of managing other people’s money as their agents, it is essential in the post global financial crisis world if we are to maintain the right to have influence over our future regulatory and legislative environment.”
M&G and Schroders declined to comment.