The Z class will be available via platforms operating a clean share class model and the typical AMC for an equity fund will be 0.75%.
Threadneedle’s existing retail (R) and institutional (I) share classes will complement the new Z class and will continue to charge 1.5% (minimum investment of £2,000) and 1% (minimum investment of £500,000) respectively on typical equity funds.
The group said a limited number of funds would not have a Z share class and these funds would instead use the existing institutional share classes, which are already unbundled and provide a “ready-made” RDR solution.
Gary Collins, Threadneedle’s head of UK distribution, said: “Our new RDR-friendly Z share class is being launched for those intermediaries who will chose to work within a fee-based model post 31 December 2012.
“Threadneedle has a broad range of retail funds and we have chosen to launch unbundled share classes for the majority of our range to ensure that all our funds will be accessible via this route from early next year.”
