Third of UK retail assets still held in pre-RDR share classes

Trailing fees fall to less than £1bn for the first time

Victoria McKeever
clock • 2 min read

One third of retail assets invested in UK funds are held in pre-Retail Distribution Review (RDR) share classes that pay rebates to financial advisers, research from Fitz Partners has found.

When RDR was introduced in 2013 more than 70% of UK retail assets were held in 'fully loaded' share classes. This proportion has fallen steadily by around 10 percentage points every year.  According to the latest figures from Fitz Partners' ‘UK Fund Charges' database, holdings in this type of share class decreased from around two-fifths (42%) in 2016 to a third (34%) in 2017.  Source: Fitz Partners Over the years the difference in Ongoing Charges Figure (OCF) between the legacy retail share classes and so-called 'clean' share classes has varied between 0.53% and 0.57%, Fitz Part...

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