JP Morgan Asset Management is to make its charging structure more transparent for direct customers using its WealthManager+ platform.

The asset manager claim a new charging schedule to be brought in from October will allow customers to calculate applicable fees more easily.

The key features and terms & conditions documents have also been simplified.
 
As part of the shake-up the 1 per cent initial transaction charge on investments in the WealthManager+ product range will be dropped.

Brokerage fees of up to £10 may be applied to investment trust, equity, exchange traded fund and bond transactions.

The minimum lump sum investment will also be reduced from £1,000 to £500, while minimum regular contributions will drop from £100 to £50 per month for investments in individual savings accounts (ISA) and self-invested personal pensions (SIPPs).

Annual account fees on OEICs, unit trusts and SICAVs will be dropped, and where annual account fees are applied, these will be capped.

Peter Feasey, head of direct client business at JP Morgan, said the changes had been brought in as a result of customer feedback.

He said, 'We believe that our new pricing is extremely competitive across the board and we will continue to develop and enhance our products and services for our direct investors.

'We hope that these changes, together with us reducing the minimum investment, will not only benefit our existing customers but also open up our offer to a new audience and further develop our proposition in the direct investor market.'

Ahead of the changes, from 15 August JP Morgan will be not include an initial charge for customers investing into any JP Morgan fund or investment trust held in a SIPP, ISA or investment account.

Across the industry, other fund platforms have begun to make changes to make charging more transparent for investors, known as 'unbundled charging', ahead of proposed regulatory changes.

To receive more relevant articles like this one, why not sign up to our weekly newsletters, click here