Richard Saunders, Chief Executive of the IMA also said that “the legislation which will shape the financial services industry of the future largely comes from Brussels, with many more pieces of legislation in the pipeline for next year. The Coalition Government has thus far done an admirable job in working with Europe, but they will need to keep up the pace in 2011.”

On the change to regulatory structures in the UK and Europe, Guy Sears, Director of Wholesale, said: “Risks will inevitably arise as we shift from the old to the new regulatory structures, but the change brings opportunities, in the form of a harmonised rulebook, lower barriers to distribution, less regulatory arbitrage and a much more transparent outcome for consumers.”

On the future of pensions, Jonathan Lipkin, Head of Research, said: “The removal of the effective requirement to annuitise by 75 brings greater flexibility for savers. Annuities should be chosen for the right reasons in the context of a market where wider options are available. As the pensions landscape shifts, it is essential to recognise that a defined contribution pension is not the ‘poor relation’ of a defined benefit pension. DC pensions offer a high degree of ownership, transparency and portability.”

On the outlook for corporate governance, Liz Murrall, Director of Corporate Governance and Reporting, said: “Corporate governance and short-termism will be high on the agenda both here and in Brussels. The implementation of the Stewardship Code will ensure that there is more transparency for those asset managers that seek to create long term value for clients through constructive dialogue with the companies in which they invest.”

Commenting on the PRIPS (Packaged Retail Investment Products) Initiative, Julie Patterson, Director of Authorised Funds and Tax, said: “The PRIPs initiative should enable consumers to make informed choices across investment products. To make products transparent and comparable for consumers, the same overarching set of disclosure rules should apply across products, throughout the European Union.”

On the central clearing of derivatives, Jane Lowe, Director of Markets, said: "Further work is urgently required to make central clearing of OTC derivatives economically viable for investors and their clients. Otherwise there is a strong probability that the legislation will merely transfer risk from banks to end investors."

On the review of MiFID (Markets in Financial Instruments Directive), Guy Sears said: “It is refreshing that the European Commission is willing to challenge prevailing orthodoxies of the capital markets where it means investors may be better served.”

On the AIFMD (Alternative Investment Fund Managers’ Directive), Julie Patterson said: “Work on AIFMD levels two and three will be a major focus for investment managers in the year to come, as they grapple with the quantity and detail of requirements associated with the legislation.”

Press release