Commission to IFA

dunstonh

The total annual management costs of the title Fund is thus 1.7% + 1.25% +1.25% = 4.2%

no its not

jem16

fairleads wrote: »

AXA Wealth Elite Global Equity fund
Fund costs according to info obtained from the AXA web today
Axa wealth elite global equity fund of funds - amc 1.7% p/a

There are different classes of this fund available through Axa. It is also available at 1.25%. Look again at Axa website and I'm sure you'll find it.

The total annual management costs of the title Fund is thus 1.7% + 1.25% +1.25% = 4.2%

Fund of funds do not add up the amc of each fund. They have a separate amc all of their own.

This has already been explained to you. Repeating the wrong information doesn't make you correct.

The discount for fund values between 50K and 250K is .45%
Nett fund management costs are thus 3.75% p/a

No it's not as you don't understand Fund of Funds.

Include the adviser cost of say .5 % p/a brings the total annual management cost of the
AXA Wealth Elite Global Equity fund to 4.25% p/a
Ps

If you are going to use the bundled amc, it already includes the IFA trail commission. However as AXA are an unbundled platform, this would be rebated.

fairleads

Do as i did yesterday, contact AXA Wealth, and get the info from them. The same i've relayed here today.
Do you, Lokolo Jem16, and for that matter Dh, really expect me to believe that the amc of a fund of funds, in any shape of form, comes as low as from .2 to .6% P/a? when the ter of some of the base unit trusts are 1.25% p/a.
If the total cost of the F of Funds is .6% then what % does the unit trust manager get.
Ps .6% on a 100K fund is how much?
Pps Its not my maths that is suspect. Its concealment of the true nature of the cost structure that is.

Lokolo

fairleads wrote: »

Do as i did yesterday, contact AXA Wealth, and get the info i've relayed here today.
Do you, Lokolo Jem16, and for that matter Dh, really expect me to believe that the amc of a fund of funds, in any shape of form, comes as low as from .2 to .6% P/a? when the ter of some of the base unit trusts are 1.25% p/a. if the total cost of the F of Fs is .6% then how much does the unit trust manager get.
Ps .6% on a 100K fund is how much?

I can invest in funds in my pension as low as 0.15% AMC (although passive). These are not FOF though, i cant comment on these, but i dont see why not. A simple portfolio of 0.15% trackers won't have much of an ongoing cost to run in addition.

fairleads

Lokolo wrote: »

I can invest in funds in my pension as low as 0.15% AMC (although passive). These are not FOF though, i cant comment on these, but i dont see why not. A simple portfolio of 0.15% trackers won't have much of an ongoing cost to run in addition.

Passives aren't the subject matter.

dunstonh

Do as i did yesterday, contact AXA Wealth, and get the info from them. The same i've relayed here today.

You have understood it wrong then.

Do you, Lokolo Jem16, and for that matter Dh, really expect me to believe that the amc of a fund of funds, in any shape of form, comes as low as from .2 to .6% P/a? when the ter of some of the base unit trusts are 1.25% p/a.

For a fettered fund of funds, yes. For an unfettered fund of funds, no.

jem16

fairleads wrote: »

Do as i did yesterday, contact AXA Wealth, and get the info from them. The same i've relayed here today.

Here is the fund in a different class. Note the amc of 1.25%.

http://factsheets.financialexpress.net/AXAW/PTEG_ST_ME.pdf

The Global Equity fund is one of the dearest.

Do you, Lokolo Jem16, and for that matter Dh, really expect me to believe that the amc of a fund of funds, in any shape of form, comes as low as from .2 to .6% P/a? when the ter of some of the base unit trusts are 1.25% p/a.

So you're using the fund of funds pricing with discounts and the base unit prices without discounts? Doesn't that seem wrong to you?

Pps Its not my maths that is suspect. Its concealment of the true nature of the cost structure that is.

You are misunderstanding the whole concept of fund of funds, whether it's your Maths or not.

If a Fund of Funds is made up of 5 funds and you have £1000 to invest, would you be putting £1000 into each of the 5 funds ( making £5000) or would the £1000 be spread over the 5 funds (making £1000)?

fairleads

jem16 wrote: »

Here is the fund in a different class. Note the amc of 1.25%.

http://factsheets.financialexpress.net/AXAW/PTEG_ST_ME.pdf

The Global Equity fund is one of the dearest.



So you're using the fund of funds pricing with discounts and the base unit prices without discounts? Doesn't that seem wrong to you?



You are misunderstanding the whole concept of fund of funds, whether it's your Maths or not. Not so, DYO proper Research

If a Fund of Funds is made up of 5 funds and you have £1000 to invest, would you be putting £1000 into each of the 5 funds ( making £5000) or would the £1000 be spread over the 5 funds (making £1000)?

1000 in total
Each fund gets 200, each fund amc is say 1%
The fund wrapper that hold the 5 funds then has a charge of 1% making 2% in total.

the title fund, AXA W Elite Global equity is actually a fund of funds of funds with a triple layer of charges (triple = x 3)

Ps I've asked AXA to comment on the costs layers here on this forum, but don't hold your breath, it may take a while.
PPs Aegis has told us previously that he wouldn't manage 100K for £210 p/a yet you expect AXA to.
Aegis & Reaper, care to comment

Regards

Aegis

fairleads wrote: »

PPs Aegis has told us previously that he wouldn't manage 100K for £210 p/a yet you expect AXA to.
Aegis & Reaper, care to comment

AXA aren't offering regulated financial advice for that fee. Instead they are amalgamating all unit-holders into a single fund and running it as one large portfolio. Consequently they can receive a very large annual income figure for what is essentially managing one very large and demanding client.

If they had to individually advise each investor, they would have very different charges.

doughnutmachine

fairleads wrote: »

Do you, Lokolo Jem16, and for that matter Dh, really expect me to believe that the amc of a fund of funds, in any shape of form, comes as low as from .2 to .6% P/a? when the ter of some of the base unit trusts are 1.25% p/a.
If the total cost of the F of Funds is .6% then what % does the unit trust manager get.
Ps .6% on a 100K fund is how much?
Pps Its not my maths that is suspect. Its concealment of the true nature of the cost structure that is.

this fund has went from TER of 1% in post 47, to TER of 1.25% in post 69, and now it has a cost of 0.2% in post 82. All info from the same poster...

if I was buying a new car i'd expect some things like the mpg to be provided by each car manufacturer. it seems that fund managers go out of their way to hide the true costs of their products.