Investment website Boring Money has launched a new investment fees calculator.
The site says that this will provide a single pounds and pence figure, and will include 20 platforms and robo-advisers, but will also pull in information on consumer ratings and other data to provide a wider context for the figure.
There are default options if investors don’t know how much they will trade a year or what the funds and shares split within their investments is, but there is an override to this for more sophisticated investors.
Boring Money chief executive Holly Mackay says: “Trying to work out what we pay for investment services remains shockingly difficult. Customers tell us they want to see a single pounds fee, but instead they have to build complex Excel spreadsheets with multiple inputs to try and work out what each provider costs.”
To coincide with the launch of the calculator, Boring Money has launched a new disclosure campaign, with the likes of AJ Bell lending its weight to it.
AJ Bell chief executive Andy Bell acknowledges that pounds and pence will be easier to compare than percentages, but also that “price isn’t everything” when it comes to investment, noting consumers will also want to look at service and the reputation of platforms as well.
Mackay adds: “There’s endless talk and very little action. We know that customers want to see fees in simple pound amounts. We know they want to be able to compare.
“We are calling on the industry to improve this fundamental part of disclosure and acknowledge that transparency is not the same as clarity. We think every part of the chain – from platform to asset manager – should have some way for consumers to understand in simple pound terms what any given investment would cost, so they can make informed and confident decisions.”