Fidelity reveals further details of 'fulcrum fee'

0.10% reduction in AMC

Jayna Rana
clock • 3 min read

Fidelity International has unveiled further details of its new variable management fee model, which will launch on 1 March next year across the clean share classes of ten active equity funds.

In particular, there will be a 0.10% reduction to the annual management charge and the variable fee will move between -0.2% and +0.2% of the AMC depending on performance. The new model will operate as a sliding scale and act as a two-way sharing of risk and return, the group said. It believes the new fee structure is a "truly innovative approach to creating a much fairer alignment between the client and the manager". It added: "It is a demonstration of commitment to the value of strong active management; challenges that our industry has faced and can no longer ignore."  The variabl...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Stock market crashes – the rational and the emotions

Stock market crashes – the rational and the emotions

'Several characteristics associated with previous pre-crash periods are present today'

Paul Wood
clock 30 September 2026 • 5 min read
Baillie Gifford workforce faces 10% reduction following voluntary exit programme

Baillie Gifford workforce faces 10% reduction following voluntary exit programme

Around 160 roles vacated

clock 23 September 2026 • 1 min read
Nine SJP funds flagged for underperformance in AoV despite improvements on last year

Nine SJP funds flagged for underperformance in AoV despite improvements on last year

89% of assets given green light

Alex Sebastian
clock 22 September 2026 • 2 min read