Schroders cuts initial charge across range by 200bp

Schroders has cut the initial charge on a range of unit trusts from 5.25% to 3.25% ahead of the Retail Distribution Review.

From today, the new initial charge will apply to the ‘A’ unit class of 23 of its retail portfolios, including Richard Buxton’s UK Alpha Plus fund and Andy Brough’s UK Mid 250 fund. Six NURS funds including multi-manager portfolios are also affected. The group said the move brings into line fees across its fund range. Schroders has already launched a range of Z share classes across its UK fund range which do not pay trail commission. A number of other groups have been adjusting their fee structures ahead of RDR. M&G, Rathbones, and Cazenove are among those also considering adding...