Aberdeen Asset Management is offering a 0.5 per cent annual management charge on its RDR-ready share classes for its retail multi-manager range.
The move is across its seven strong-range of retail funds, which includes the £303m Cautious Managed, £90m Equity Managed, £68 Constellation and £55m Distribution portfolios. The multi-manager team manages around £7bn in long-only multi-manager portfolios.
Aberdeen senior portfolio manager Scott Spencer says: “We decided to make this move on the back of feedback from advisers. Offering this unbundled share class also lowers the ongoing charges of the fund – something which has been an issue for advisers looking at multi-manager funds – making them a more attractive proposition.
“There will be no change in the running of these funds, we will not be introducing more underlying passive funds or tampering with the asset allocation on the back of this price change. It will be business as usual.”
Last month, F&C Asset Management also cut the annual management charge across its four-strong range of lifestyle multi-manager funds from 0.6 to 0.5 per cent in preparation for the RDR. Most fund groups have typically offered RDR share classes priced at 0.75 per cent.
Aberdeen head of strategic partnerships UK Steve Andrews says: “We believe the pricing will compare favourably against many other multi-manager offerings.”
Chelsea Financial Services managing director Darius McDermott says: “It is always welcome to see funds lowering their fees. We would like to see more groups follow suit.”