Advisers, asset managers and platforms each need to cut their share of fund charges to ensure clients are still receiving value for money, HSBC Global Asset Management's Andy Clark believes.
The group's wholesale managing director says charges are excessive on the overwhelming majority of funds and need to be lowered well before the implementation of the RDR. Speaking at the Cofunds Platform conference, Clark says annual fund charges need to drop from a typical 1.5% to about 1.25% or even 1% in some cases. While the RDR will bring unbundled charges - showing the costs from fund manager, platform and adviser - Clark feels client charges must be cut before its implementation, especially with the looming influx of low-cost passive vehicles to the retail market. "We all have ...
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