Cat-marked Isas should be retained but their charges should be reduced in many cases, according to B...
Cat-marked Isas should be retained but their charges should be reduced in many cases, according to BEST Investment
Jason Hollands, deputy managing director of BEST Investment, said: "The cheapest tracker and fixed interest funds have charges well below the Cat maximum. Since charges can be the most important part of the selection process for these types of funds, the Cat standard will potentially be misleading in allowing relatively expensive funds to appear on a level footing with those offering best value
BEST Investment wants to see the abolition of the mini Isa and also wants an end to the geographical limits on where Cat-standard Isas can invest. The group said one of the advantages of Isas over Peps was the lack of restriction on when funds could invest but a Cat-marked Isa still had to have at least 50% of assets in the European Union
Hollands said: "A positive new requirement for regulating Isas should be to control the marketing of funds where there has been a fundamental change in the management team
"If a trust is to boast excellent performance figures when in practice a new manager is now in place, this should be highlighted
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