Reregister with fund supermarkets - why?

AlanJD

I keep getting mailshots asking me to re-register any existing investments so that they are all held in a single fund supermarket. The advantage for me, they claim, is cheaper switching and less paperwork. Presumably there's an advantage to them, such as transferring on-going commission from the original salesman to the supermarket. Should I transfer?

dunstonh

Presumably there's an advantage to them, such as transferring on-going commission from the original salesman to the supermarket.

correct.

If you dont use an IFA then you may as well transfer or re-register. If you do use a servcing IFA then the IFA will lose servicing rights and will cease to provide ongoing servicing. However, if you had a servicing IFA you would probably be with a fund supermarket anyway (its not often that you use a fund house nowadays - although you still do from time to time).

rarrarrar

I re-registered my ISAs with Cavendish from Torquil (both Fidelity Funds Network)
The result for a £70k portfolio was a £300 cheque after 1 year for partial refund of ongoing commission.

Having all ones ISAs in one place does make switching easier and cheaper.