Taking your investment of in a risk portfolio we have simulated below the potential values over the next years. The blue bars consider a portfolio paying Netwealth's fees and the grey bars when the average fees of a traditional wealth manager are deducted.
With average investment returns of per annum, you could be an extra better off over years by investing with Netwealth compared to investing with a traditional wealth manager.
The example above is based on the forward looking gross investment return for a risk portfolio of per annum and an initial investment of . The total cost of investing for the traditional manager is 1.86%.*
|Discretionary Wealth Management Fee|
|Underlying Fund Costs|
|Other Costs Related to the Service|
|Total Annual Cost of Investing|
One-off costs of approximately 0.08% will be incurred when making the initial investment
Before you invest with Netwealth we will provide you with a personalised illustration of all the estimated fees and costs for your portfolios.
|Total Invested Amount||£50,000 - £249,999||£250,000 - £499,999||£500,000+|
|Discretionary Management Fee||0.65%||0.50%||0.35%|
|Estimated Underlying Fund Costs||0.30%||0.30%||0.30%|
|Estimated Annual Costs of Trading||0.05%||0.05%||0.05%|
|Total Annual Costs of Investing||1.00%||0.85%||0.70%|
We do not charge initial fees or fees to transfer in pensions, ISAs or cash.
The underlying fund costs are an estimate of the total ongoing costs from funds and ETFs process. The underlying fund costs include fund management charges, other fund charges (e.g. administration and custody) and the friction costs of trades taking place within the funds themselves.
The fee rate for the discretionary investment service will be determined by the aggregate value of the contributions you have made into your Account less any withdrawals (“Total Invested Amount”). If you are the Lead Investor or member of a Network, then the Total Invested Amount will be calculated based on the aggregate value of contributions less withdrawals for all clients in the Network.
Fees are deducted from your account monthly in arrears, based on the applicable annual fee rate and the average daily value of your account.
Other costs of investing are made up of friction costs of trading within the portfolios. The ongoing costs of trading are related to the spread between purchase and sale prices of instruments that are bought and sold on your behalf by Netwealth on an ongoing basis. The one-off cost of investing is the effect of the difference between the purchase price and the “mid-market” price in the market for each instrument when your initial investment is made.
|Cash Withdrawal via CHAPS||£25|
|Cash Withdrawal via BACS||£0|
|Cash Transfer Charge (GIA, ISA, JISA)||£0|
|Investment Transfer Charge (GIA, ISA, JISA)||£20|
|Change of Portfolio Risk Level**||0.12% of Portfolio market value|
|Intelligent Money (Pension Provider) Charges||Charge|
|Income Drawdown Set-up Charge||£75|
|Income Drawdown Annual Charge||£90|
|Calculation of Pension Commencement Lump Sum (Tax Free Cash)||£150|
|Calculation of Partial Uncrystallised Fund Pension Lump Sum||£225|
|Calculation of Full Uncrystallised Fund Pension Lump Sum||£300|
|Capped Income Drawdown Annual Review||£75|
|Annuity Purchase Charge||£150|
|Single and Regular Contributions||£0|
|Cash Transfers In||£0|
|Cash Transfers Out||£150|
|In-Specie Transfers In||£225|
|In-Specie Transfers Out||£150 per hour|
* The traditional wealth manager fee of 1.86% is calculated as the average total expense ratio (TER) of the wealth managers listed in research by Numis and Citywire published by Citywire Wealth Manager in February 2015.
** We think that investment objectives are best achieved through maintaining a long-term strategic asset allocation. If your objectives or preferences change you are able to change the risk level on your portfolio a maximum of two times per year free of charges. Any changes subsequent to that will be chargeable at 0.12% of the value of the investments to cover our additional trading costs.
Charges relating to a Personal Pension are currently exempt from VAT. However, if this changes we reserve the right to add VAT to charges where VAT is applicable. We will provide you with not less than 15 days’ written notice of this.