Market-timing & late-trading – just a US problem?

Is the UK safe from market timing and late trading in securities of mutual funds that have emerged in the US? Not necessarily, according to the FSA Chairman Callum McCarthy. Asked whether the UK’s unit trust industry had experienced similar trading, he stated “We have done a first cut, and that first cut has emphatically not given us the answer ‘No, there is no prospect of this happening in the London markets.’” Consultation and rules in the new year are a distinct possibility.