Legal & General Investments has cut the charges on its index fund range.
The changes will apply to the institutional unit classes, which are available to fee-based advisers on a number of platforms.
The UK, single market and regional index funds will now carry an annual management charge of 0.2 per cent, while global funds will be cut to 0.3 per cent.
Legal & General Investments managing director Simon Ellis says: “Over the last two to three years, Legal & General Investments has experienced a strong increase in demand for our passive investments, notably from fee-based advisers.
“This review of the pricing structures means advisers will get a better deal when using our simple, low cost and high quality index funds to construct client portfolios.”
He adds: “This change will enable advisers to use passive strategies as part of their asset allocation and portfolio construction decisions more easily and cleanly, whilst supporting the move to a fee-based advice market.”