FCA U-turns after FTAdviser mis-selling warning

James Anderson, joint manager of the £6.9bn Scottish Mortgage investment trust, which is the largest trust on the UK market said: “We are extremely disturbed by the requirements of the key information document.

"We do not believe that reliance on past performance data is ever a sufficient guide to the many possible future outcomes in stocks and markets.

"The persistent and steady rises characteristic of the last five years seem especially questionable as a guide.

"We consider the most important risks in markets to be intrinsically unpredictable and unmeasurable.

"We would also highlight that the emphasis on the short-run demanded in the Kid, seems to us to be acutely misguided.

"We continue to stress to retail shareholders that we focus, as we believe they do, on building capital in the long-term. We believe that an undue preoccupation with short-term volatility undermines this commitment – and indeed the ultimate purpose of financial markets."