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Vanguard cuts fees on multi-asset trackers

Vanguard cuts fees on multi-asset trackers

Vanguard has reduced the charges for its range of LifeStrategy multi-asset index funds, and tweaked their investment policies.

From 31 January, the funds’ annual management charges and pre-set dilution levies (PDL) will change as shown below.

Fund Current AMC / TER New AMC / TER Current PDL New PDL
Vanguard LifeStrategy™ 20% Equity Fund 0.29% 0.29% 0.27% 0.18%
Vanguard LifeStrategy™ 40% Equity Fund 0.30% 0.29% 0.25% 0.17%
Vanguard LifeStrategy™ 60% Equity Fund 0.31% 0.29% 0.24% 0.17%
Vanguard LifeStrategy™ 80% Equity Fund 0.32% 0.29% 0.24% 0.17%
Vanguard LifeStrategy™ 100% Equity Fund 0.33% 0.29% 0.22% 0.16%

The funds, which blend equity and bond exposure, will adjust their asset allocation policy on the same date by adding global bonds to their fixed income component. They will retain a marginal overweight to UK securities, though.

The products will also convert from a non-Ucits retail scheme structure to a Ucits format.

Vanguard will bear all the costs of the conversion, including the dealing costs incurred in transitioning to the new asset allocation policy.

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Profile: The opportunity set that attracted Brett Williams to wealth management

Profile: The opportunity set that attracted Brett Williams to wealth management

Brett Williams is best known for helping to build some of the biggest platforms in the IFA market.He made the move over to wealth management to head SEI’s UK business earlier this year in the belief that this is where the best opportunities now lie.

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