fees

FundsNetwork has fired a warning shot to fund managers, saying any "special deals" struck up with rival platforms will be revealed under the transparency principles underpinning Retail Distribution Review (RDR).

INVESTMENT TRUSTS

AN APR FOR FUNDS?

Kames Capital is to waive the performance fee on its £65m UK Equity Absolute Return fund for the rest of the year, and will cut it in half from 2013 onwards.

MAM Funds is introducing a non-trail commission share class across its fund range ahead of the Retail Distribution Review.

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

Vanguard has launched the LifeStrategy range, a suite of five fund of index funds with low annual management charges.

Simon James, founding partner at Gore Browne Investment Management, wades into the fee debate, urging investors to separate charges from product investment styles and returns.

Fund managers believe the use of performance related fees will increase over the course of the next year, according to research from Skandia Investment Group (SIG).

GLG Partners will launch its UK Select fund to the local market on 3 August, subject to FSA approval, carrying a unique charging structure significantly reducing the manager's margin on the product should it fail to outperform.