Cazenove’s retail funds are to be hit with an admin charge increase as a result of their planned transfer to Schroders’ administration system.
Cazenove’s 17 funds are to be rebranded and renamed on March 24 when they officially move to Schroders’ internal administration system, and change transfer agent to IFDS from JPMorgan.
At the same time the administration charge - which is charged to investors through the funds’ ongoing charge figure - will increase by roughly 10 basis points, but Schroders has also promised to remove any initial charges on funds which are not soft-closed.
A statement from Schroders said the move would bring the Cazenove funds into line with the rest of the Schroders fund range.
Currently Cazenove’s single strategy funds - including Julie Dean’s UK Opportunities fund and Matt Hudson’s UK Equity Income fund - have administration charges of between 0.04 per cent and 0.07 per cent a year. This will increase to 0.15 per cent a year on all except the Cazenove UK Corporate Bond fund, which will have an administration charge of 0.1 per cent.
While for most funds the charges represent an increase, the Cazenove Multi-Manager Diversity Balanced fund will see its administration costs cut to 0.15 per cent from 0.2 per cent.
