Transact has cut the commission rates on portfolios, reducing the threshold for its 0.5 per cent annual commission.
The previous charging structure saw any investors with less then £180,000 charged 0.5 per cent on the first £60,000 of their asset. But this charge will now only apply to those with less than £150,000 in assets.
The platform says the move will benefit “many thousands of customers” on its platform. The platform is also reducing the 0.325 per cent annual commission rate to 0.31 per cent from April next year.
Investors with less than £150,000 will now pay 0.5 per cent on any investments up to £60,000 and then 0.31 per cent on the remaining sum.
The charge cut is a result of the growth in the platform’s scale, as it now has £19bn in assets, says Ian Taylor, chief executive.
“We are pleased to be reducing our charges further in line with our principles of ‘responsible pricing’. This is the eighth reduction since 2008. Our highly competitive charging combined with service excellence means Transact is the clear leader in terms of value for money,” he says.
New charging structure: