JP Morgan Asset Management says will absorb research costs due to MiFID-II

Reuters  |  LONDON 

(Reuters) - JP Morgan said on Friday that it will absorb the costs of paying brokers for investment rather than pass them on to its clients when new European regulation kicks in next year.

"costs will be paid by the business and not by MIFID II client accounts," the manager said in statement, referring to clients of the firm who would be affected by the new rules.

The European Union's MiFID-II directive comes into force in less than six months and one of the main impacts will be forcing brokers to charge an explicit price for research, rather than bundling charges into trading costs.

(Reporting by Carolyn Cohn; Editing by Rachel Armstrong)

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