View more on these topics

Aviva adding levy on 21 funds

Aviva Investors is to add a 0.1 per cent charge across a total of 21 funds within its range.

The fee has been approved by the FSA and will be introduced on October 1. Among the funds where the levy will apply are the corporate bond, UK equity income fund and property trust. It will also be added to six of its sustainable future funds. Aviva previously levied the charge on a number of other funds and says the latest move is a bid to harmonise charges across its range.

The annual fee will form part of the total expense ratio. On top of the annual management charge, this also includes the fund’s admin costs, depository, custody and registration fees.

Aviva Investors says its charges are in line with the industry and the rises will allow it to enhance the standard of service.

Eight of the Oeic/Unit Trust range affected are also having their annual registration fee decreased from 0.2 to 0.1 per cent. These include two classes of the high yield bond fund, two classes of the strategic bond and two of the global property fund.

Chelsea Financial Services managing director Darius McDermott says: “We never like to see fund charges on the rise regardless of the size of that increase. Aviva Investors must show how this rise in fees actually improves the service.”

Recommended

2

Advisory role could split between relationship managers and technical specialists

Aifa says some firms may look to split the traditional advisory role between client relationship managers and technical specialists. In its RDR paper Adviser Horizons, published today, Aifa highlights the rise of the paraplanner and expertise of other non client-facing staff within IFA firms. It says some firms may look to evolve current specialities to […]

1

Advisers say Euro comparison on pension fees is misleading

Advisers have slammed a study claiming that UK pension savers are being hit by huge charges compared with their European counterparts, suggesting the comparisons are misleading. Hermes Fund Management founder and special adviser David Pitt-Watson says high charges mean UK savers are retiring with pension pots worth half as much as they would get elsewhere […]

4

Uncertainties are a certainty

If the future could sue, it would be in for some big court awards. It is routinely abused by economic forecasters, fund managers and investment analysts, yet the only way it can answer back is by making them look stupid. Since that will happen long after anyone has stopped caring about what they predicted, the […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment