AXA Framlington FinTech Fund Z Accumulation

Shocking_Blue

Dear all,
Not sure if members are familiar with this fund, but on the KIID doc from two different sites shows the minimum investment as £100,000. Not sure if this is a typo of some sort - seems very large.
Thanks in advance.

Shocking_Blue

...
Same min investment showing for AXA Framlington UK Mid Cap Fund.
Guess it's an error?

Prism

Its not an error. Its the platform that requires the minimum contribution not the individual. You can ignore it.

Shocking_Blue

Prism said:

Its not an error. Its the platform that requires the minimum contribution not the individual. You can ignore it.

Many thanks for clarifying.

Alexland

Prism said:

Its not an error. Its the platform that requires the minimum contribution not the individual. You can ignore it.

Even then the fund manager would need to relax the requirement when a platform is first given access to the fund (as there wouldn't be any platform investors yet) and would probably never follow it up (as they don't want to encourage outflows) if the fund wasn't popular enough to get that level of investment from the platform customers. It's generally a pointless bit of information as funds reserved for genuine large institutional investors would never end up being offered to retail customers via platforms anyway.

Prism

Alexland said:

Prism said:

Its not an error. Its the platform that requires the minimum contribution not the individual. You can ignore it.

Even then the fund manager would need to relax the requirement when a platform is first given access to the fund (as there wouldn't be any platform investors yet) and would probably never follow it up (as they don't want to encourage outflows) if the fund wasn't popular enough to get that level of investment from the platform customers. It's generally a pointless bit of information as funds reserved for genuine large institutional investors would never end up being offered to retail customers via platforms anyway.

Yes it does seem pointless info that many of the platforms do list. I do wonder is there is scope to shift investors from a previously more expensive class to cheaper one automatically or does the fund manager does take into account the total investment across all classes when working out if that platform qualifies for what is often a slightly cheaper class. It doesn't really matter I suppose - just pick the cheapest class available.

Alexland

Prism said:

Yes it does seem pointless info that many of the platforms do list. I do wonder is there is scope to shift investors from a previously more expensive class to cheaper one automatically or does the fund manager does take into account the total investment across all classes when working out if that platform qualifies for what is often a slightly cheaper class. It doesn't really matter I suppose - just pick the cheapest class available.

I guess the main reason platforms still offer more expensive classes on the same fund is either because customers have historically invested in them (before the cheaper class was added) or want to transfer in-specie from another platform where they currently hold them.