It launched clean share classes in September 2011 and currently offers over 2,700, which it claims makes things simpler; the adviser agrees a fee with the investor and the platform clearly states what the investor will be charged for the services provided.
Cofunds, which has a 22% share of the platform market, has added 10 new fund groups since the start of the year, the most recent of which was GAM’s DFM offering, which was announced last week.
Fidelity FundsNetwork, meanwhile, anticipates offering 1000 clean share classes by June, and currently has just over 800. A spokesperson said that they are aiming to add 200 new clean share classes per month. All clean share classes on offer have been added since June last year, prior to which there were none available.
Other competitors
Competitor Skandia has announced it is to make clean share classes available following the release of the FCA platform paper last friday. As yet the firm does not have a timetable for the rollout.
A spokesperson for the firm also said: “Skandia will continue conversations with its fund group partners about launching preferential share classes (sometimes referred to as super clean) for its platform to ensure that advisers and their clients using the Skandia platform always receive the best net fund costs available in the market.
"The addition of clean share classes will complement Skandia’s existing fund range and will be available across all products on its unbundled platform, where rebates are paid in full to customers in the form of units. This development will enable advisers and their clients to select the share class most appropriate to their individual circumstances, including their tax status.”
All Change at Cofunds
Meanwhile, a leaked internal memo at Cofunds has revealed Stephen Mohan, managing director of operations is leaving after seven years at the firm.
He will remain at the firm until a suitable replacement is found, after which he will take up a new role at an as-yet undisclosed firm within the industry.
As a result, the firm is bringing retail and institutional sales and relationship management under one area.
Martin Davis, CEO at Cofunds, said “With immediate effect Andy Coleman is now Director of Distribution and will be responsible for sales and relationship management across all three of Cofunds customer segments – Investor Wealth and Enterprise – across both the retail and institutional channels. Mark Hopcroft, currently Head of Retail Business Development, continues to report to Andy but will now manage the institutional sales and strategic CRM teams.”
In March it was announced that Legal and General were to take full ownership of the UK platform in a deal valued at £131m. It will continue to operate under the Cofunds brand.
What about Standard Life’s target for clean fee share classes? Find out on Portfolio Adviser soon…
