The Financial Conduct Authority (FCA) is using its competition enforcement powers for the first time as it accuses four asset management firms of breaking the competition law.
It has issued a statement of objections to Artemis Investment Management LLP, Hargreave Hale Ltd, Newton Investment Management Limited and River & Mercantile Asset Management LLP.
The FCA alleges that the four firms shared information by disclosing the price they intended to pay, or accepting such information, or both, in relation to one or more of two Initial Public Offerings (IPOs) and one placing, shortly before the share prices were set.
The sharing generally occurred on a bilateral basis and allowed firms to know the other’s plans during the IPO or placing process when they should have been competing for shares.
The FCA’s main allegations against the four firms are that separately: