Fidelity’s move to a performance-based fee model has nothing to do with pricing pressures in the industry it has claimed as it revealed details as to how the structure will work in practice.
Seven Investment Management (7IM) is to rename and change the fee structure of its £62m 7IM Unconstrained Fund.
The European Securities and Markets Authority (Esma) is turning up the heat on asset managers, highlighting the impact of fund charges on returns in a fresh report. Fund fees wipe out an average 20% of gross returns, according to the regulator
You are more likely to be “hit by lightning” than see returns that beat inflation and cash from a multi-asset fund, according to fresh research raising the debate into cost effectiveness once again.
State Street has ramped up the competition among the biggest US ETF providers by slashing prices across 15 ultra-low cost trackers.
Fidelity International is the first major asset manager to make a switch to a “value for money” charging structure. The asset manager will give money back to clients when its funds underperform.
Baillie Gifford has reduced annual management charges across its range of UK Oeics and Irish Ucits funds, with effect from 1 October 2017.
Asset managers are seeing their margins being eroded because investment advisory costs are increasing while management fees are coming down, research has found.
The time has come to offer investors a fairer deal and drop fixed fees for performance-based charging, Morningstar’s head of global manager research Jeffrey Ptak has said.
Performance fees are often seen as a necessary evil. But the unambitious hurdle rates most funds employ mean fund managers also get rewarded for underwhelming performance. Is that fair?
Has the FCA asset management review missed a trick by not expanding its demands for transparency to wealth management?
There are no particularly nasty surprises in this week’s FCA fee policy statement though it has confirmed above inflation fee rises with bills due to arrive on doormats later this month.
