Interactive Investor will hand over the day-to-day running of its “best buy” list of funds to Morningstar to guard against conflicts of interest around its influential recommendations of funds to retail investors.
The UK’s second-largest funds supermarket said that the Chicago-based financial data company would take over management of its recommended funds lists, including the flagship Super 60, which help retail buyers choose between the multitude of funds on the market.
While the UK platform said it will still oversee the lists and keep ultimate responsibility for its recommendations, the new arrangement effectively means the two companies will have to agree to major changes, providing a third-party check on how the lists are run.