The chief executive of the London-based investment advisory firm said the structure rewarded clients for higher levels of investment.
He said it was designed to deliver a simple fee structure across all investment types and would eliminate pricing bias.
Self-invested personal pension fees start at 0.30 per cent a year, dropping to 0.20 per cent for investments of more than £250,000, and a 0 per cent charge for Sipp investments of more than £1m.
A tiered fee structure for Isas and general investment accounts starts at 0.40 per cent for investments up to £250,000, and falls to 0.20 per cent for assets between £250,000 and £1m. assets of more than £1m are charged no fees.
Bestinvest will also contribute up to £500 towards the cost of any exit fees for investors seeking to transfer into its Sipp.
Mr Hall said: “Our goal is to offer investors an exceptional value-for-money service that is underpinned by rigorous and unbiased research. Saving for retirement is one of the most critical personal finance challenges clients face.
“For the Sipp, we have introduced an even lower service fee to enable clients to get the best possible outcome from their retirement savings.”
He said the online investment service was more than a ‘fund supermarket’, as it offers a wide range of investments, guidance and analysis tools.
Mr Hall added: “With banks withdrawing from the advice market, this service is well placed to help bridge the gap for those investors who are prepared to make their own decisions but need a helping hand.”
|Last month, Hargreaves Lansdown announced that it would charge customers with less than £250,000 to invest 0.45 per cent to use its platform. Fidelity subsequently undercut that fee at 0.35 per cent, while Aviva announced it would charge 0.15 per cent for customers with more than £400,000 to invest, and 0.25 per cent for those with less.|
Mark Polson, principal of independent platform consultancy The Lang Cat, said: “I’d sum up as ‘more of the same’. Investors with more than £250,000 can get much cheaper deals with the fixed-rate providers, and if you have anything over £100,000 invested in an Isa with Bestinvest, you could probably save quite a lot of money by looking elsewhere.”
Darius McDermott, managing director of London-based Chelsea Financial Services, said: “The cost of investing is generally going down for most investors, which is good news for them. We’ll be announcing our own new charging structure at the end of February.”