Bestinvest has removed the minimum investment of £50,000 of assets to qualify for its Isa loyalty bonus on its platform.
Bestinvest says its loyalty bonus saves an Isa investor up to 0.5 per cent each year on the value of funds invested. It also says that its scheme offers better value for investors than its rivals Hargreaves Landsdown and Fidelity.
The move means that all clients on the platform are now eligible for the bonus. Bestinvest says that its research shows that an Isa investor wishing to invest £10,680 in a portfolio of six top active funds with Bestinvest would save £110 in the first year compared with buying from Fidelity, £25 compared with Hargreaves Lansdown and £461 compared with buying directly from the fund manager. (To see full table click here)
Bestinvest says that an Isa investor wishing to invest solely in a portfolio of seven tracker funds would save £156 in the first year compared with buying from Hargreaves, £20 compared with Fidelity and £50 compared with buying directly from a fund manager.
Bestinvest also says that as of March 8, 1629 funds paid a bonus when bought through Bestinvest Select compared with 1341 through Hargreaves Vantage.
Bestinvest chief executive Peter Hall says: “Keeping costs low and ensuring you have the right fund managers looking after your investments make a big difference to your wealth over the longer term. Not all loyalty bonuses or fund discounts are the same and it pays for investors to check that they’re getting the best deal.”