According to Rob Bailey, head of UK wholesale distribution at Axa IM: a simplified pricing policy is advantageous when creating an understandable client proposition.
Under the change, where before two prices were calculated daily, a bid and an offer price, applied when clients respectively redeemed or purchased units, now there will only be one price applied to both transactions.
However, the manager has the discretion to ‘swing’ the price, in order to minimise the effects of dilution should the fund face extended or large periods of inflows or outflows.
“The move to single pricing is an important step – instead of having two prices – the bid and the offer – there is just one. The ability to implement swing pricing to protect existing unit holders highlights our commitment to delivering the highest standard of service to our clients,” Bailey said.
The new pricing regime takes affect from the dates below:
| Phase | Funds included | Effective date of change |
| 1 | Axa Framlington Emerging Markets Fund, Axa Framlington Blue Chip Equity Income Fund, Axa Framlington UK Mid Cap Fund, Axa Framlington UK Growth Fund and Axa Framlington Japan Fund | 08-Sep |
| 2 | Axa Framlington American Growth Fund, Axa Framlington Biotech Fund, Axa Framlington Monthly Income Fund, Axa Framlington UK Select Opportunities Fund, Axa Framlington Global Opportunities Fund and Axa Framlington Financial Fund | 15-Sep |
| 3 | Axa Framlington Equity Income Fund, Axa Framlington Global Technology Fund and Axa Framlington Managed Income Fund | 22-Sep |
| 4 | Axa Framlington European Fund, Axa Framlington Health Fund, Axa Framlington Managed Balanced Fund, Axa Framlington UK Smaller Companies Fund and Axa General Trust | 06-Oct |
