On 4 April 2016, Woodford Investment Management (WIM) announced they would be paying the research part of the transaction costs from their annual management fees, rather than passing these onto clients.
Why funds must come clean on hidden transaction costs
(Interactive Investor – External Link)
Posted By: True and Fair, 4:30 pm
Gina Miller, founder of the True And Fair Campaign, which is fighting for funds to reveal their annual cost in a simple pounds and pence figure that savers can easily understand, says: “While Woodford should be applauded for detailing his costs, he does not trade very frequently. So his research costs are likely to be lower than many funds and therefore will have less impact on performance.
What I am more worried about is those managers who buy and sell regularly, perhaps three or four times as often as Woodford, and are not following suit.”
INVESTMENT EXTRA: Pressure on funds to be more transparent after Neil Woodford vows to pay for research from own pocket
(Daily Mail – External Link)
Posted By: True and Fair, 9:00 pm