Fund supermarket. Please enlighten me!

wilroda

Hi
I do hope you can enlighten me!

We have some "PEPS" that arent doing very well with Norwich Union and would like to change them.(Bought in 1997/8)

I was told that they need to be reintroduced to the Fund Supermarket before I will be able to "switch".

I really do need some help here as I am a novice at this!

1) What is a fund supermarket?
2) Is this information correct?
3) Cost involved?
4) Is it easy to "switch" and is this something I can deal with....bear in mind that it is all new to me!


Thank you so much in advance!!

dunstonh

1) What is a fund supermarket?

In the past you invested with a provider and used their funds. i.e. Norwich Union used NU funds. Inv Perp used Inv Perp funds. With advances in technology, we have seen over the last 5 years fund supermarkets come along who manage the administration but allow you to access all the major fund houses in one spot. This allows you to diversify your portfolio amongst the fund houses in just one place.

2) Is this information correct?

depends on the fund supermarket. If a fund switch is likely to occur some have it cheaper to do it as transfer others it is cheaper to re-register then switch holdings.

3) Cost involved?

Depends on the fund supermarket and where you are doing it. It can cost nothing or up to 3% (higher if using greedy person to transact through). Ideally you shouldnt be looking for any more than 1%.

4) Is it easy to "switch" and is this something I can deal with....bear in mind that it is all new to me!

depends on the fund supermarket. Some still need signatures to switch. Others can do it online with no signature required.

Fund supermarkets are a great thing. There are pros and cons with each one so once you know what you want, it should be easy to match the right one up with your needs.

wilroda

Thanks so much for that. So are there any good websites you could point me in the direction of for any fund help or advice on doing this?
....i think i need to do some research before doing anything!!!

oldfella

FundsNetwork - http://www.fidelity.co.uk/direct/index.html