The retrocessions of financial advisors will soon be better regulated

The AMF is set to clarify the remuneration rules for financial investment advisors in France, focusing on the transparency of retrocessions. Most advisors do not charge clients directly, relying instead on commissions from fund managers. These retrocessions must be justified as enhancing client service, a requirement that has recently led to scrutiny from the AMF's sanctions committee, which criticized several fund management companies for failing to demonstrate this link. The upcoming regulations aim to ensure better disclosure and accountability in the financial advisory sector.