Gill Hutchison: When does OCF = VFM?

Fund charges in a low-return world

clock • 6 min read

Even if you can fathom the total cost of owning an investment, how do you determine if it represents value for money? Gill Hutchison takes a closer look at fund charges in a world of low returns

The FCA's spotlight on fees has engendered a long overdue focus on charges for all in financial services who reside along the multiple links of a customer's value chain. In the world of funds, industry-wide launches of so-called ‘clean' share classes from 2013 onwards was part of a huge ‘unbundling' exercise, which promoted greater understanding about the cost of purchasing and holding investment products.  The debate about costs and ‘value for money' is far from over and this remains a complex area, filled with subjectivity and swayed by the vagaries of dynamic investment markets. Even ...

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