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.

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 CEO Tapes: 'we're just a bunch of white dudes sitting here'

CEO Tapes: 'we're just a bunch of white dudes sitting here'

In our brand new series, eight CEOs discuss how the industry could do a better job for female fund managers.

Play CEO Tapes: 'We don't care about the average fund manager'

CEO Tapes: 'We don't care about the average fund manager'

The bosses of 13 asset management groups recently came to Citywire London HQ for two separate round table discussions.

Play Insight's Waddington reveals infrastructure plays post-Carillion

Insight's Waddington reveals infrastructure plays post-Carillion

Post-Carillion Steve Waddington is still finding attractive plays in infrastructure.

Read More
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