Transact has said it will halve both its buy commission and dealing charges from 1 March.
The buy commission charge on investment purchases will be reduced from 0.20% to 0.10% from March and then halved again from March 2015.
On portfolios with values in excess of £2m, there will be no buy commission from March and a 0.05% charge will apply to portfolios valued at between £1m and £2m.
Dealing charges for standard, phased and regular transactions will be up to a maximum of £7.50, £1.25 and £0.75 respectively from March.
From March 2015, they will be reduced further to a maximum of £3.75, £1.00 and £0.50 respectively.
Transact chief executive Ian Taylor said: "2013 was another profitable year for Transact and we are delighted to announce that we will be reducing our charges not only this year but next year too. We have a clear strategy of "responsible pricing" and, with prudent management and decision making, we can pass on savings derived from our scale, efficiencies and specialisation in the wrap market.
"The new charging structure means that a fund purchase of £10,000 will cost a maximum of £10 in 2014 and £5 in 2015."
Transact scrapped the initial establishment fees on its investment bonds in November.
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To promote 'long-term investment'