Flat-fee platform Interactive Investor is replacing its quarterly charge with a monthly one to expand its membership options.
Three service plans will be available from 1 June at a cost of £9.99, £13.99 or £19.99 per month.
The least expensive plan ‘Investor’ is £2.01 cheaper than the previous quarterly cost charged to II customers.
Chief executive Richard Wilson says trading costs on the other plans have also been dropped.
He says: “Each service plan has a fixed monthly fee with reduced ultra-low trading fees to suit different investment styles. We don’t think one price should fit all.”
II also engaged consultancy The Lang Cat to assess the charging structure.
Consulting director Steve Nelson says fixed-fee costs advantage customers over uncapped percentage-based ones.
He adds: “Of course, this is simply basic arithmetic in action and it will depend on individual circumstances such as trading levels, contributions and investment types, but such savings can add up over a medium to long-term investment.”
The new II fee model saves users around £30,000 in charges over the long-term compared with its immediate competitors, The Lang Cat adds.
II purchased fellow platform Alliance Trust five months ago. The platforms hold a combined £35bn in assets under management and have plans to launch an as-yet defined advice proposition this year.