Architas has revealed a major overhaul to its charges.
The multi-manager, which is a part of the Axa Group, today (5 July) announced it is making its super clean share classes available to all UK investment platforms.
Previously the super clean share class has only been available on Standard Life Elevate and Standard Life Wrap.
This will mean a reduction in the annual management charge for all other clients of 20 basis points on the active and blended ranges, five basis points on the Passive fund range and between 10 and 20 basis points on the single strategy fund ranges compared to the clean share class.
Sarah Ackland, head of UK funds at Architas, said: "Extending our super clean share classes across all platforms will provide better value and more consistent pricing for all clients invested in Architas via third party platforms.
"We now have advisers using Architas across all the main UK platforms and believe it is right to make the best value pricing available to all platform clients rather than just those using a specific one.
"During the 10 years of Architas we have seen significant changes in the market. This includes the growth of multi-asset and multi-manager solutions and demand from advisers for funds that balance risk with potential reward. Given the growth of the business it is right that we continue to offer competitive and value for money solutions for our clients.
"This move will also simplify the situation for advisers who are switching clients between platforms or using multiple platforms as part of their investment proposition. Having consistent pricing also removes the additional costs faced by advisers that wish to switch platforms and remain invested in Architas funds."
Fund/fund range | Clean share class AMC (bps) | Super clean share class AMC (bps) | Reduction in AMC (bps) |
Architas Multi-Asset Active funds* | 75 | 55 | 20 |
Architas Multi-Asset Blended funds | 60 | 40 | 20 |
Architas Multi-Asset Passive funds | 30 | 25 | 5 |
Architas Diversified Real Assets fund | 65 | 55 | 10 |
Architas Diversified Global Income fund | 60 | 40 | 20 |
Architas MM UK Equity fund | 60 | 40 | 20 |
Architas MM Monthly High Income fund | 60 | 40 | 20 |
Architas MM Strategic Bond | 60 | 40 | 20 |
Architas is working with platforms to make the super clean share classes available from 1 August
This includes the Architas Multi-Asset Active funds, Architas Multi-Asset Blended funds and Architas Multi-Asset Passive funds to name a few.
Kusal Ariyawansa, a chartered financial planner at Manchester-based Appleton Gerrard, said: “It never made sense to me to have a fund manager offering a discount through one particular channel.
"If your proposition is good you should be able to offer it to everyone, otherwise it is biased - something IFAs are becoming more sensitive to.”
aamina.zafar@ft.com
