HL Conversion options?

utigers

Hi there - I have read some of the information on this, but I guess the
question is......what is best for me? I have 15 to 20 funds dont want to leave HL but just want the cheapest way of doing it? Whats the easiest way to work it out?

Drp8713

If you go to the conversion screen, it will tell you what the current charges are, minus off the loyalty bonus (assuming the holding is over £1000, as if its less you don't get a loyalty bonus and should convert).


If that's lower than the unbundled on the right hand side then don't convert, if its higher then convert.

Drp8713

For me it was a no brainer as I don't get a loyalty bonus, heres what you will be sent:


Thank you for your conversion instruction received 1 March 2014. The following funds will be converted to the lowest cost units that are available on Vantage at the next available conversion date, which we expect to be in June.

HL Vantage Stocks & Shares ISA


Convert from:Invesco Perpetual Distribution (Inc)1.375% -0.188%
Convert to:Invesco Perpetual Distribution (Inc)0.688% Nil


Convert from:Jupiter European (Inc) 1.50% -0.25%
Convert to:Jupiter European (Inc) 0.75% Nil


HL Vantage SIPP


Convert from:Aberdeen Asia Pacific Equity A (Acc)1.75% -0.375%
Convert to:Aberdeen Asia Pacific Equity I (Acc)1.00%Nil


Convert from:Cazenove UK Smaller Cos Class B (Acc)1.50% -0.25%
Convert to:Cazenove UK Smaller Cos (Acc)0.75%Nil


Convert from:Fidelity Special Situations (Acc)1.50% -0.20%
Convert to:Fidelity Special Situations (Acc)0.75%Nil


Convert from:Marlborough ETF Global Growth Fund (Acc)1.50% -0.15% Convert to:Marlborough ETF Global Growth Class P (Acc)0.75%Nil

Converting will have no effect on the value of your holding but the price of the new units and the number of units you hold will be different. The conversion of units will not create a tax liability and there is no charge for this service.

You can view and monitor the instructions you have provided in the 'Pending orders' section of your online account. The Key Investor Information Documents (KIID) for your funds are available online in the 'Key features and documents' section of the fund factsheet, or on request.

Whilst your conversion instruction is 'pending' you may continue to trade in your fund as normal. We will convert all units held in the fund at the point we submit your instructions to the fund group in June so any new purchases, sales or completed transfers in or out will be taken into account at this point.

If you have a regular savings or phasing instruction to the inclusive units, we will automatically change this to the unbundled units at the same time that we pass your conversion instructions to the fund group

Drp8713

Does anybody have


JPMorgan Global Equity Income Inclusive - Class A - Income (GBP)
Annual management charge: 1.50%
Loyalty bonus: 0.10%


This fund is not currently available for conversion. For further information please contact us.


It says I cant convert yet they do have a clean version http://www.hl.co.uk/funds/fund-discounts,-prices--and--factsheets/search-results/j/jpm-global-equity-income-class-c-gbp-income


Anybody found any unconvertibles?

utigers

Thanks for the reply, I'm just looking at HL 'fund charge checker' tool and the majority of charges are unchanged for me as I get loyalty bonuses on all mine. Are your examples based on no loyalty bonus? Like you say no brainer if under 1k

utigers

Cazenove UK Opps is cheaper if you convert?

Drp8713

Yes mine are all under £1k.I forgot to mention to add your 0.45% on to your unbundled, but I assume everyone was doing that anyway.

jimjames

Drp8713 wrote: »

Yes mine are all under £1k.I forgot to mention to add your 0.45% on to your unbundled, but I assume everyone was doing that anyway.

I'd assumed that after April everyone gets the "loyalty bonus" as HL have to refund any fund manager commission after that date.

utigers

Drp8713 wrote: »

Does anybody have


JPMorgan Global Equity Income Inclusive - Class A - Income (GBP)
Annual management charge: 1.50%
Loyalty bonus: 0.10%
Number of units currently held: 84.076

This fund is not currently available for conversion. For further information please contact us.


It says I cant convert yet they do have a clean version http://www.hl.co.uk/funds/fund-discounts,-prices--and--factsheets/search-results/j/jpm-global-equity-income-class-c-gbp-income


Anybody found any unconvertibles?

Looks like 'soft closed' funds aren't listed eg FS EM funds/China.

Do any fund charges go UP if you convert? If the answer is no and you are only interested in cheaper charges why would people not convert their entire portfolio?

ColdIron

Drp8713 wrote: »

Convert from:Aberdeen Asia Pacific Equity A (Acc)1.75% -0.375%
Convert to:Aberdeen Asia Pacific Equity I (Acc)1.00%Nil

I notice thy are quoting the pre-RDR figures in From and not the current Inclusive figures

Pre RDR this was 1.75 - 0.375 = 1.375
Inclusive this is 1.75 - 0.75 + 0.45 = 1.45
Unbundled 1.00 + 0.45 = 1.45

So by my reckoning this one is actually more expensive than it was

Feel free to correct me

brewerdave

Thanks for this - I was struggling with all the online literature re the changes!
Looks like one of my funds with Standard Life will be "cost effective" to convert as it "saves" 0.2% and one with Newton, Higher Income fund, also, because it still appears to pay a loyalty bonus after conversion? Its the only one of my 18 funds??