Purchase Australian: it's cheaper
It is becoming cheaper to invest in Australian shares and fixed interest, but more expensive to go international, according to the latest InTech investment manage-ment fees survey.
It is becoming cheaper to invest in Australian shares and fixed interest, but more expensive to go international, according to the latest InTech investment manage-ment fees survey.
The survey of wholesale investment management fees, which include pooled funds and individually managed portfolios, found that fees charged for Australian share funds have decreased on average by 11 per cent in the past three years. Fees charged for international funds, on the other hand, have blown out by 10 per cent in the past two years.
Fixed interest funds followed the same pattern. Average fee levels for Australian fixed interest funds have fallen by about 7 per cent, while international fixed inter-est charges have risen by 9 per cent during the same time.
Despite increasing competition in the superannuation industry, investment man-agement fees for the major flagship pooled market-linked funds have remained static, InTech found. However, the findings also show little correlation between in-vestment performance and fees charged.
Fees charged for capital stable funds, meanwhile, fell on average by 5 per cent over three years.
Ends
Recommended for you
Despite the year almost at an end, advisers have been considerably active in licensee switching this week while the profession has reported a slight uptick in numbers.
AMP has agreed in principle to settle an advice and insurance class action that commenced in 2020 related to historic commission payment activity.
BT has kicked off its second annual Career Pathways Program in partnership with Striver, almost doubling its intake from the inaugural program last year.
Kaplan has launched a six-week intensive program to start in January, targeting advisers who are unlikely to meet the education deadline but intend to return to the profession once they do.
