Fund charge total expense ratio
- Control Account – nil
- Fixed Term Cash Deposit – nil
- Scottish Widows Funds – 0.1% to 1.28%
- Fund Supermarket – average 1.16%
- Discretionary Fund Management – 1.307% to 1.566%
- Share Dealing – 0.646%
Remuneration structure
Scaled commission
- 100% allocation
- Interest-free commission with no penalty for the client for periods between 1–5 years
- Up to 8% on single premium and transfer
- Up to 50% on regular premium
Flexible commission
- Paid immediately from investment
- Up to 8% on single premium and transfer
- Up to 50% on regular premium
Fund-based commission
- Based on the whole value of the Retirement Account
- Up to 1% fund-based renewal
- Up to 1.5% fund-based renewal for Flexible*
Ad hoc fee
Paid on new business and incremental business. Fund-based commission paid on all assets held.
* with client authority
Service charge
Special offer – From 1 July 2011 to 30 June 2012, new Retirement Account cases valued between £20,000 and £500,000 will benefit from a service charge reduction of up to 25%.
- Payable monthly from the Control Account(s)
- Calculated as the percentage of the total value of all assets within the Retirement Account
- Structured on a tiered basis, the rate of the charge can both rise and fall in line with the underlying value of assets held within the Retirement Account
Adviser payment charge
The options for the cost of advice between you and your client are
- Flexible (fee compensation) with or without fund-based remuneration
- Scaled (similar to indemnity commission) with or without fund-based remuneration
- A client-agreed one-off adviser payment can be paid in addition to other adviser remuneration options, subject to certain terms and conditions
