“We want to be in a position that when we say this is the best way to ensure the best possible consumer outcomes, we are not just seen as a self-serving organisation defending the indefensible,” he said at the time.
While M&G and Schroders remain (perhaps unfairly) tight-lipped on their reasons for rebellion, others have been quick to stand by the association, including IA board member and Miton Group managing director, Gervais Williams, who stresses the view that “all trade organisations are strongest when they are united”.
Skagen Funds, one of the first groups to sign the Statement of Principles, is also sticking by the IA.
“From our perspective is we are happy to support the IA the principles that it has outlined,” says Tim Gordon, the firm’s head of UK wholesale.
“At this point we wouldn’t reconsider our membership, but the key for a trade body like this is that we all sing off the same hymn sheet and that we are all united in what we are trying to do. If major firms move away from the IA that can obviously undermine it.”
Do M&G and Schroders really need the IA, and does the IA really need them? Time will tell, but it is clear Godfrey and co will have to act fast if they are to contain any further rebellion.
