Hargreaves shares fall as it reveals pricing details

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Shares in Hargreaves Lansdown fell at the open this morning as investors digested news of the group's pricing overhaul which sees them charge clients a platform fee directly for the first time.

Earlier this morning the group announced its new tiered pricing structure for clients as it moves its business away from a rebate model following the Retail Distribution Review (RDR). With most clients now paying an AMC of 0.45% from April it makes the platform marginally more expensive than some competitors - depending on the pot size. Crucially, Hargreaves said the changes would equate to an initial revenue hit of £8m in the first year as lower client charges feed through, coupled with a £9m revenue reduction as a result of the 2016 sunset clause which will see all legacy trail comm...

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