Wealth Manager - the site for professional investment managers

Register free for our breaking news email alerts with analysis and cutting edge commentary from our award winning team. Registration only takes a minute.

Close unveils 0.25% introductory platform charge offer

Close unveils 0.25% introductory platform charge offer

Close Brothers Asset Management has unveiled an introductory pricing offer on its direct to consumer platform that will see both new and existing clients pay a 0.25% fee until 31 March 2015.

The company’s new platform charge comes into effect on 10 March and when it expires clients will pay 0.35% on the first £50,000 held in funds and 0.25% on all amounts above this.

Direct equities, including investment trusts and exchange traded funds, also carry a 0.25% annual fee with all trades charged at £8.95 a year.

Consumers that access Close through Cofunds will face a 0.35% platform fee from 7 April and those using FundsNetwork will pay the same amount but from 7 February.

Other charges include a £10 fee for printed versions of six monthly reports or copies of contract notes. Transfers out of the platform cost £75 plus VAT with ins specie transfers charged at £100 plus VAT.

Close Brothers Asset Management chief executive Martin Andrew (pictured) said: ‘We’ve structured our pricing to be as simple as possible, competitive in the market place, and to offer real value for money in terms of total cost for clients opting to use our platform.’

So how do Close’s charges compare?

Charles Stanley Direct is charging 0.25%, but is waiving this for anyone transferring £500,000 before 1 April. Hargreaves Lansdown’s platform charge starts at 0.45% for the first £250,000, falling to 0.25% on amounts up to £1 million, then down to 0.1% up to £2 million with no charge thereafter.

FundsNetwork is to charge 0.35% on the first £25,000 falling to 0.2% for the whole amount if clients have between £250,000 and £1 million and similarly no fee at all on amounts above this figure.

Comparing the underlying fund costs is not yet possible as Close has not disclosed the AMCs it has negotiated with different asset managers.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Your Business: Cover Star Club

Profile: Kevin Doran's formula for success at AJ Bell

Profile: Kevin Doran's formula for success at AJ Bell

From a degree in theoretical physics to teaching and becoming one of the youngest chief investment officers in the UK, Kevin Doran has certainly had an interesting career.

Wealth Manager on Twitter