UK - The pensions industry will have to be more transparent and open about fees if incoming auto-enrolment reforms are to succeed, the Pensions Management Institute (PMI) has warned.
The organisation's chief executive Vince Linnane said he "fully supported" proposals by the National Association of Pension Funds to introduce a code of conduct to foster a fair and transparent fee structure.
"Hidden charges and barriers could do irreparable damage to the image of auto-enrolment before it has even taken off," he said.
"Taking money through hidden set-up and running costs - that are not explained fully to the member when they set up the policy - ultimately defeats the purpose of auto-enrolment as a tool to encourage sufficient funding for members' futures."
The parliamentary Work and Pensions select committee recently launched a review examining the scope of collective defined contribution that would also include an examination of fee structures.
In other news, Gatemore Capital Management has been appointed dedicated chief investment offer by the trustees of Teva UK Limited Retirement Benefits Scheme.
Albert Hills, chair of trustees for the pharmaceutical scheme, said the "hands-on" approach was comforting at a time of market turmoil.
"Working with Gatemore is like having our own chief investment officer continuously monitoring our portfolio and bringing us new ideas," he said.
Speaking of Teva's motivation for the appointment, Gatemore managing director Mark Hodgson said: "They want to be engaged and kept abreast of market developments, working with a consultant who can give firm recommendations whilst markets act erratically."