Schroders has aligned the initial charges across its fund range at 3.25% ahead of the retail distribution review’s (RDR’s) implementation at the end of the year.
The initial charges on 23 retail Ucits funds have been lowered by 200 basis points from 5.25%, effective from today, as part of the move. In addition, six Nurs funds and two institutional products have seen their charges cut.
Products included in the change include the £2.8 billion Schroder UK Alpha Plus fund, managed by Richard Buxton, the Andy Brough-helmed £1.3 billion Schroder UK Mid 250 fund and Kevin Murphy and Nick Kirrage’s £1.1 billion Schroder Income fund.
A letter from Schroders to unitholders explains: “Following a review of our funds we decided to reduce the charges on a number of our funds to ensure harmonisation across our range.”
The asset manager has already launched its Z share classes, which do not pay trail commission, across the UK fund range in preparation for the post-RDR world. (article continues below)
The funds affected by the latest move are:
Schroder Global Emerging Markets
Schroder Global Equity Income
Schroder Global Property Securities
Schroder Managed Wealth Portfolio
Schroder Medical Discovery
Schroder UK Smaller Companies
Schroder US Mid Cap
Schroder US Smaller Companies
Schroder Asian Alpha Plus
Schroder Dynamic Multi-Asset
Schroder Managed Balanced
Schroder Multi-Manager Cautious Managed
Schroder Multi-Manager High Alpha