As part of a broad restructuring of its operations, INVESCO International is to give its offshore fu...
As part of a broad restructuring of its operations, INVESCO International is to give its offshore funds two classes of shares to ensure a regular fee for intermediaries.
Richard Thompson, senior associate sales director at INVESCO International, said: "The most important change we are making is the creation of two separate share classes to bring the INVESCO funds into line with the GT funds. The funds will now contain both 'A' and 'C' shares.
"The 'A' shares will have built into them an automatic trail fee that will be paid out to intermediaries on a quarterly basis. The 'C' shares will be for institutional use only.
"The difference between this trail fee and commission is that the trail fee will be fixed and automatic, which we believe will mean a fairer and more transparent deal for advisers.
"At present there is enormous pressure on intermediaries as a result of large front-end loads, which mean an adviser is only as good as his last deal.
The development goes hand in hand with INVESCO's ongoing plans to migrate all its offshore funds to a single administration platform in Dublin, a move which the firm completed by 9 August. Along with the move to Dublin, the funds will change their name from Premier Select to INVESCO GT.
The name changes and alterations to share classes are expected to affect about 25 funds covering all the asset classes North and South America, the Far East, fixed interest, global equities and Europe.
The minimum investment on the 'A' shares is $2,500 while 'C' shares will carry a minimum investment of $1m.
The INVESCO International dealing line closed on 6 August. From that date onward all dealing is being done through the London dealing office.
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