Mifid II rules on fund cost disclosure has opened a 'Pandora's box' of complexity for advisers who now need better education about how the asset management works, which is independent from that industry or professional bodies, according to experts who met for our roundtable discussion.

New Model Adviser® sat down with three industry experts to discuss how advisers can explain fees to clients in accordance with the new Mifid II cost disclosure rules, specially key information documents (KIDs).

Our panellists were:

Paul Resnik, co-founder and director, FinaMetrica;
Graham Bentley, director, gbi2;
Bella Caridade-Ferreira, chief executive, Fundscape.

Bentley said advisers need to be 'big enough' to ask for help and needed material that helps them explain costs to a client.

Resnik said while advisers need act in a fiduciary manner, this was in conflict with the fact most training comes from fund managers professional bodies.

'We need professional education. We cannot have fiduciary without another limb which says "this is how you go about it",' he said. 

Caridade-Ferreira agreed advisers needed 'independent education'. 

The three business leaders agreed the current level of regulatory complexity was unprecedented