Investment funds & ISA on FundZone

Charges

Charges can vary depending on the funds chosen and the remuneration option selected.

The main charges are:

  • Annual management charge - this is sometimes referred to as the fund management charge (FMC) and covers management of investments and administration costs
  • Other fees and expenses - depending on the fund chosen, there may be additional fees and expenses levied by fund managers
  • One simple product charge - we’ll deduct a stepped product charge to cover our costs, which will reduce when your clients invest more with us
  • Cash management administration charge - applies on the various cash accounts held within your client’s FundZone account

Product charge

We apply a stepped product charge for each product held on FundZone, one for the Stocks and Shares ISA and one for the Investment Funds. Each of these charges is based on the combined value of investments in both products, as shown in the table below.

Total value of investments (excluding cash)Annual product charge (deducted monthly)
£500,000 and over 0.20%
£100,000 - £499,999 0.25%
£50,000 - £99,999 0.30%
£0 - £49,999 0.35%

 

Cash management administration charge

We apply a cash management administration charge (CMAC) on the various cash accounts held within your client’s FundZone account. This charge is taken directly from the interest received from the bank(s) used to provide these accounts and so is not deducted from any interest we may pay to customers. The charge may go up and down regularly.

ProductCMAC*
Supermarket Cash Account 0.08%
S&S ISA Cash Account 0.08%
Investment Funds Cash Account 0.08%


The CMAC rates stated are example annual rates based on the interest rates received from the bank(s) used to provide these accounts as at 23/03/2020, and assuming a Bank of England Base Rate of 0.10%.

Download more information on charges (PDF, 132Kb)

Supermarket cash account

This is set up automatically as part of your clients' holding on FundZone. It is used to pay product charges and any adviser charges that are set up. Money in the cash account is held outside of the FundZone products - meaning that for ISA clients any charges that are deducted will not impact their ISA allowance.

The Supermarket Cash Account cannot have a negative balance, so it’s important that you monitor this to make sure there are sufficient funds to cover your charges. You can use our Cash Balance report to do this.