Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Hargreaves Lansdown to unveil pricing in mid-January

1 comment
Hargreaves Lansdown to unveil pricing in mid-January

Hargreaves Lansdown is to unveil its post-RDR pricing structure on Wednesday 15 January.

The move comes after the discount broker, led by Ian Gorham (pictured), delayed its retail distribution review pricing structure in early December. On 15 January the firm will unveil pricing on Vantage, alongside the pricing of its Wealth 150, how it will be reviewed, and the super low cost share classes that it will access. It will also unveil further details of which fund groups have made it onto the core list of 20-45 funds, selected from the Wealth 150 based on their potential for sustained future performance and ‘extremely competitive price’.

Hargreaves noted in its tender to fund management groups back in May that funds on the core list would receive ‘preferential, ongoing and intensive distribution across all our available media’. Features include email marketing, more likely inclusion in model portfolio, and a premium position on the Wealth 150 website. 

Hargreaves also pushed fund groups to offer it exclusive clean share classes in the tender and floated the idea of funds being marketed solely to its clients as part of its post retail distribution review (RDR) strategy. The UK’s largest direct to consumer platform said it did not expect better pricing to be offered to others in its market, given its distribution, viewing ‘better prices as the “new discount”’ in a commission-free world'.

In a request for proposal and information pack sent out to fund groups, seen by Wealth Manager, Hargreaves said it planned to only offer ‘substantial promotional coverage’ to funds that make it onto its New Wealth 150 and concentrated Core Funds list.

It is required to unveil its unbundled charging structure from 6 April 2014 when new platform rules come in.

Spokesperson Danny Cox said the firm was looking forward to 'letting people know the results of our endeavours over the last few months'.

It said in a statement in early December that the extra time would allow it to refine the Wealth 150 review and overall proposition so that we ensure we achieve the best results for our clients.

Hargeraves has said its unbundled pricing structure will be tiered, and brokers at Barclays have speculated over the levels at which they would be set.

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 Navigating geopolitical risk with ETFs

Navigating geopolitical risk with ETFs

ETFGI’s Deborah Fuhr on how investors can use exchange-traded funds to position their portfolio.

Play Sarasin’s Boucher: why I like salmon with chocolate

Sarasin’s Boucher: why I like salmon with chocolate

Henry Boucher, manager of the £129 million Sarasin Food & Agriculture Opportunities fund, explains why he is gobbling up salmon and chocolate stocks.

Play Alibaba hype, the UK slowdown and opportunities in European sovereign bonds

Alibaba hype, the UK slowdown and opportunities in European sovereign bonds

Libby Ashby and leading wealth managers analyse what the Alibaba IPO hype means for Chinese equities, slowing growth of the UK economy and whether there’s anything left to play for in the European sovereign bond market.

Wealth Manager on Twitter