Ease of doing business measures - Enabling Investment Advisers (“IAs”) to provide second opinion to clients on assets under pre-existing distribution arrangement

Second opinion fees allowed for assets under prior distribution arrangements, with capped advisory charge and annual client consent.

IAs may charge advisory fees, under AUA mode, on client assets subject to a pre-existing distribution arrangement when providing a second opinion, limited to 2.5% per annum. IAs must annually disclose and obtain client consent that, besides the advisory fee payable to the IA, clients will incur distributor consideration costs on those assets.