A report published on Thursday by the International Organization of Securities Commissions (IOSCO) aims to identify examples of good practice in the fees and expenses of collective investment schemes (CIS), such as mutual funds and hedge funds.

The report sets out 23 examples of good practice in areas such as disclosure, compensation, transaction costs, and hard and soft commissions.

“Regulators have long been concerned” about the impact of fees and expenses on investors’ decisions, the report says, and it warns that disclosure alone is often not adequate.

“Cost transparency by itself will not always ensure good outcomes for investors. Fee arrangements, even when fully disclosed, can give rise to conflicts of interest that are best addressed by rules of conduct,” the report adds says. “High standards of transparency and conduct in this area should help encourage competition among CIS operators and lead to a more efficient market, thereby eventually benefitting investors.”

The report is not intended to establish comprehensive requirements for the regulation of fees and expenses. Rather, IOSCO hopes that the examples set out in the report “will promote greater fairness and transparency in an industry that helps manage the long-term savings of millions of people around the world,” the report says.

As markets continue to evolve and change, there may need to be further revisions or enhancements to these practices, the report adds.