The full 1.5% fee on the retail share class will be retained by the group as it anticipates the majority of new flows to go into the new I share class, which has an annual management fee of 1.25%.
The £160m fund is managed by Anthony Cross and Julian Fosh and it has outperformed the IMA UK Smaller Companies sector average by 16.6 percentage points over three years, 75.9% versus 59.3%.
The team use a process called the Liontrust Economic Advantage to make investment decisions, and will only buy companies whose managers have a minimum 3% director equity ownership. Current holdings include Charles Stanley, PayPoint and Brooks Macdonald.
A spokesperson for the firm said that this outperformance justified the 1.25% cost of the fund.
