Terminology

4 Posts

What ho one and all,
These days, all investment statements come with a breakdown on the charges. I may be stupid but I really don't understand the language.
Service charges / Investment charges / Adviser fees. What is the difference between these? Seems to me they are smoke and mirror terms for the company to get more money out of me.
Grateful for a simple explanation.
Thanks and toodle pip
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Service charges - tends to be product or platform charges. i.e. an added service charge
Investment charges - tends to be the investment charges. These are usually broken down into subheadings like (OCF/TER, transaction charges and incidental/other charges - although it depends on your investment type as not all types have all of these or disclose them that way).
adviser charges - tends to be the adviser charge