Legal & General is planning to offer four new fund products to be managed by external fund managers s...
Under the proposals a 1% commission will be charged by L&G for any interested in taking up the stakeholder offer.
From the 6 April 2001 stakeholder and retail pension customers will be offered a range of funds from Deutsche Asset Management, JP Morgan, Newton Fund Managers and SG Asset Management. Four funds from each group will be made available for investment including Newton Higher Income, Newton balanced, SG Europe Equity, Deutsche Life UK Equity and JP Morgan Life Assurance Limited Lifetime Moderate Fund.
Specially created funds for Legal & General's multi-manager offering will be managed by SG Asset Management and JP Morgan.
The new funds include SG Legal & General Balanced fund, SG Legal & General Global Equity Fund and JP Morgan UK Disciplined Equity Fund.
Randle Williams, head of retail pensions at Legal & General, said: "For a long term investment such as a pension we believe strongly that the core of the fund invested in tracker stocks, supplemented by selected satellite active funds is both an attractive and sensible strategy."
There is an additional charge of 0.15% charge on the external funds but the total cost will remain capped at no more than 1% of funds under management per year. There will be no restrictions in switching either between external funds or between external and Legal & General funds.
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