Wealth Manager - the site for professional investment managers

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

Fidelity slashes tracker fund prices

Fidelity slashes tracker fund prices

Fidelity Worldwide Investment has lowered the charges on its range of passive equity funds, with its FTSE All Share tracker now available for 7 basis points.

The group’s price range has now been set at:

Provider UK US Japan Europe ex UK Pacific ex Japan Emerging Markets World
Fidelity 0.07% via Fidelity 0.08% via Fidelity 0.10% via Fidelity 0.10% via Fidelity 0.13% via Fidelity 0.23% via Fidelity 0.18% via Fidelity
0.09% via other platforms 0.10% via other platforms 0.12% via other platforms 0.12% via other platforms 0.15% via other platforms 0.25% via other platforms 0.20% via other platforms
(was 0.09%) (was 0.09%) (was 0.15%) (was 0.16%) (was 0.20%) (was 0.27%) (was 0.18%)
BlackRock 0.16% 0.17% 0.17% 0.17% 0.20% 0.26% 0.21%
Vanguard 0.15% 0.20% 0.30% 0.25% 0.30% 0.40% 0.30%
L&G 0.17% 0.18% 0.19% 0.20% 0.22% 0.43% 0.31%
HSBC 0.17% 0.18% 0.24% 0.26% 0.33% - -

(Source: Fidelity)

Fidelity emphasised that its rates were all calculated as ongoing charges figures.

For comparison, the total expense ratios for Hargreaves Lansdown’s range of core trackers includes Legal & General UK Index at 0.10%, Legal & General US Index at 0.12%, Legal & General International Index Trust at 0.20%, BlackRock Japan Equity Tracker at 0.12%, and BlackRock Emerging Markets Equity Tracker at 0.25%.

According to Fidelity, over £7 billion is held in UK trackers with ongoing charges of 1% or more.

‘Index trackers sit at the core of many investment portfolios and while charges have come down over time, there are still many that are poor value for investors,’ John Clougherty (pictured), head of UK retail at Fidelity, explained.

Data from the Investment Management Association revealed that £76 billion was held in tracker funds at the end of March 2014, representing an overall share of assets under management of 9.7%, compared with 9% in March 2013.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Video special: what Scottish DFMs think of SNP election flop

Video special: what Scottish DFMs think of SNP election flop

As delegates gathered for Citywire Scotland, we asked them their take on the election.

Play Keith Skeoch: 'passive has a part to play'

Keith Skeoch: 'passive has a part to play'

In the third part our series, Skeoch outlines his vision for Standard Aberdeen.

2 Comments Play Keith Skeoch: why I believe markets will make 'substantial returns'

Keith Skeoch: why I believe markets will make 'substantial returns'

In an exclusive interview, Standard Life CEO Keith Skeoch tells us why he takes an optimistic view on markets just about everywhere.

Read More
Your Business: Cover Star Club

Profile: Rathbones' fund boss on spotting emerging talent

1 Comment Profile: Rathbones' fund boss on spotting emerging talent

A great fund manager is really easy to spot, says Mike Webb, chief executive of Rathbones Unit Trust Management

Wealth Manager on Twitter