And then at the rear there's Chelsea Financial Services - RDR pricing

Rollinghome

Chelsea Financial Service have announced their new fees at last: 0.20% to Cofunds plus 0.40% to themselves, so a total of 0.60% with no ceiling or better price for larger investments. The only thing going for them is that they won't have any other charges, including exit charges it seems. http://www.chelseafs.co.uk/newpricing

They were one of the earliest of the discount fund brokers when just discounting the initial charge was enough but just haven't stayed with the competition on price. As prices have fallen they're now charging just a smidgeon less for a DIY service than some IFAs are charging for a fully advised service. With charges now so transparent will be interesting to see how long they'll find clients to pay that sort of price.

talexuser

I was with them many years ago when I devoured all the info booklets from various intermediaries before the internet! You are right, getting the initial charge dropped was a big deal in those days. Then I changed to an outfit that rebated half the trail commission, then moved to Cavendish when they rebated all. Paying 0.6% is just mad.

dunstonh

As prices have fallen they're now charging just a smidgeon less for a DIY service than some IFAs are charging for a fully advised service.

For benchmark purposes.... An IFA can do 0.25% p.a.on lowest tier pricing (i.e. £1+ - can do lower for larger amounts but that is typical across most platforms in advised or DIY) with no going adviser charge for transactional cases. Servicing cases would typically be 0.5% to 1.0% p.a. depending on amount.

So, a service that charges 0.40% on top of platform charge for a non-advised service is expensive. It makes you wonder how much of a bankhander they were getting in the bundled world.

Rollinghome

Correction on first post. Have just opened their brochure received yesterday (seems I'm still on their mailing list from many moons ago). On page 7 there's a sticker covering the original price details with what's presumably a last minute revision:

Up to £250k 0.25%+0.40% = 0.60%
Tier from £250k to £500k 0.20%+0.35% = 0.55%
Tier from £500 to £1m 0.20%+0.30% = 0.50%
Tier from £1m to £2m 0.15%+0.25% = 0.40%
Tier over £2m 0.15%+0.00% = 0.15%
These are tiers and not a sliding scale.

Purely academic interest as can't see a stream of multi-millionaires from MSE rushing to take up their offer. Interesting that Cofunds bottom line seems to be 0.15%.

And on both page 6 and 7 they've got Ian Cowie, formerly finance editor of the Telegraph now of the Sunday Times, explaining what a splendid deal it is so it must be true.