Fidelity has undercut Hargreaves Lansdown with its new pricing structure, introducing an AMC of 0.35% for clients with total assets up to £250,000.
The group's personal investing platform - which already has about 300,000 clients - today moved to challenge Hargreaves' supremacy in the direct-to-consumer (D2C) space with its new pricing.
As well as an AMC of 0.35% for clients with up to £250,000, it is then charging an AMC of 0.2% on assets between £250,000 and £1m. It has left dealing costs untouched at £9.
In the all important fund space, Fidelity said it has secured some active funds for as little as 0.2%.
The average super clean fund price it has secured is 0.64%, which includes trackers.
Unlike Hargreaves, Fidelity has also opted not to include any additional charges for phone or paper dealing, or for exiting the platform.
It comes after Hargreaves Lansdown last week unveiled its own post-Retail Distribution Review pricing structure, introducing an AMC of 0.45% for clients with assets up to £250,000.
For higher net worth clients the AMC is lower, but the country's largest D2C platform came in for criticism from users who were angry at some of the additional charges.
These include new charges for holding shares, transferring stock across accounts, or closing accounts.
Mark Till, head of personal investing at Fidelity, said: "We are extremely excited to be announcing our new pricing which offers a much simpler way to invest, providing access to the high-quality products and services we provide to our customers at exceptionally good value.
"An investor who invests £10,000 in an ISA, choosing funds from the Select List, will now pay on average £99 a year, with no additional charges whether they want to phone us, receive a paper statement or switch their funds every day.
"This represents a significant saving for our investors, who would have paid £175 previously."
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