The bundled price is charged at a flat 0.33% and is based on total assets. It includes fund and CREST trades as well as account maintenance. Users are entitled to up to four free valuations per annum.
It will run alongside the firm’s existing semi-bundled and unbundled charging models, which have charges of 0.25% and 0.15% respectively.
Peter Moores, CEO, said: [The new structure] sits well with the FCA’s view that wealth managers need to find the best solution for each client segment. In addition, research around the demographics of our client base highlights the importance of investors in the ‘accumulation stage’ of their life. Our new bundled pricing model enables investment managers to better manage portfolios for the smaller accounts today, as they grow into larger accounts tomorrow.
“Offering three different platform pricing models is unique, making our charging approach highly competitive and transparent. Wealth managers set their own charges for management fees, which can be on a tiered or flat basis, as well as brokerage charges, initial charges, financial advice and planning fees, giving them full flexibility for their charging structure with their clients.”
