UK-based accountants firm Smith & Williamson and Pictet Asset Management are planning to reduce annual management charges (AMCs) on several funds, as part of their clean pricing strategies.
Effective 1 April 2014, Smith & Williamson will reduce AMC charges on 13 of its funds with multi-manager fund charges dropping from 75bps to 65bps, and the typical bond fund AMC dropping from 65bps to 55bps.
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However, Smith & Williamson will not reduce charges on the Short-Dated Corporate Bond B class at 65bps, MM Cautious Growth B class at 70bps and Enterprise C class at 90bps.
Smith & Williamson marketing and sales head Nick Hodgson said, "We at Smith & Williamson have looked carefully at the level of our fees, and concluded that we can reduce them for those funds which are not capacity-constrained."
Pictet will reduce charges on some of its funds from 75bps to 60bps on its Japan Opps, Water, High Dividend Selection, Emerging Local Currency Debt and Small Cap Europe funds.
