OFT to examine socially responsible investment banking

Socially responsible investment banking services will be one sector examined in a new inquiry by the Office of Fair Trading (OFT).

Private and corporate banking has been criticised at times for a poor supply of equity underwriting financial commitments.

Douglas Ferrans, chairman of the Investment Management Association (IMA), suggests institutional investors are particularly interested’ in demand for listed companies’ investment banking services.

The finance expert is also to chair a new inquiry by the Institutional Investor Council (IIC). Described as ’complementary’ to the OFT market study, the IIC’s investigation will examine rights issue fees.

Mr Ferrans commented: ’[The study] will lead to a number of initiatives with respect to responsible ownership and stewardship of … UK equities ... It will also engage with relevant official bodies to ensure our customers’ interests are being looked after.’

Individuals can find information on the IMA website relating to ethical investment, offshore investment and child trust funds.ADNFCR-2318-ID-19832116-ADNFCR