Help! HSBC Global Investment Centre new charges
plarka
Posts: 73 Forumite
I got something in the mail saying they're going to add a charge in a few months, if you have a clean share class but not a legacy share class. I think. What is a share class? And how do I know which I have? And is this an additional charge of is it just spread out differently?? I have a FTSE All Share Tracker Fund.
0
Comments
-
they're going to add a charge in a few months, if you have a clean share class but not a legacy share class. I think.
Logical and the way most are going (before they are forced to).What is a share class?
The type of unit on offer. Retail class, institutional class, clean class and sometimes others. Retail is what most platforms have issued over the years. These include the cost of distriubtion, advice etc. However, there is a move to clean charging which strip out the cost of distribution, advice etc. These are then added on top explicitly.
The aim is to end the bias that can exist and ensure a level playing field between investment types. e.g. Investment trusts which were clean priced and unit trusts which were packaged. Or tracker funds that were cross subsidised by managed funds no longer getting that cross subsidy.
a clean fund is typically around 0.75% p.a. cheaper than a retail fund.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0 -
I got something in the mail saying they're going to add a charge in a few months, if you have a clean share class but not a legacy share class. I think. What is a share class? And how do I know which I have? And is this an additional charge of is it just spread out differently?? I have a FTSE All Share Tracker Fund.
The HSBC Global investment Centre platform charge introduction in May is covered at the end of this thread.
As long as you do nothing with your FTSE all share tracker the platform charge won't apply (as the charge only applies to clean classes and your current fund is a legacy not a clean class). However you won't be able to add new money to that legacy fund.I came, I saw, I melted0 -
Thanks, I just had a look at that thread and it's so confusing! I'm new to investing, figured out what I needed to, decided this was the best to buy, and now things are changing on me! Should I stay with them or do I need to look around because they're no longer the best and cheapest fees? Or is it all good and I can stay where I am?0
This discussion has been closed.
Categories
- All Categories
- 343.1K Banking & Borrowing
- 250.1K Reduce Debt & Boost Income
- 449.6K Spending & Discounts
- 235.2K Work, Benefits & Business
- 607.8K Mortgages, Homes & Bills
- 173K Life & Family
- 247.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 15.9K Discuss & Feedback
- 15.1K Coronavirus Support Boards