Cofunds to secure access to new cut-price shares

Cofunds has written to fund managers outlining its plans to secure access to new share classes being launched reflecting pre-RDR rebate deals.

Standard Life has announced eight fund managers - the most recent being Old Mutual Global Investors - have agreed to list new, lower cost shares on its Wrap platform. These are designed to take into account historic discounts negotiated by the platform but without the need for rebates to clients, which are now taxable.

Stephen Wynne-Jones, head of marketing at Cofunds, said the letter sent out to all fund managers was a confirmation of conversations the platform had been having in recent months concerning lower-cost share prices.

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“All we’re trying to do is say that if the fund managers are developing these new share classes then we would expect these to be available to us and our clients,” Mr Wynne-Jones said.

Cofunds will in the coming weeks alter its contractual arrangements with fund managers to insert the clause.

Standard Life has not given details of the specific funds subject to the deals, nor when they will be made available. However, several other platforms have already taken steps to ensure they will also get access to the new prices when they are made available.