Quilter Investors introduces AUM discounts on fund pricing

by | Jun 26, 2023

Quilter Investors, the multi-asset investment provider of Quilter, is introducing a discount on its funds when they reach a certain threshold of assets under management (AUM).

With effect from 1st July, the move will see a discount of up to 0.05% applied to a fund’s fixed ongoing charge when it exceeds £3bn of AUM. The discounts will begin to be applied from above £750m AUM in the following structure:

Fund valueDiscount
Zero to £750m0.00%
Over £750m to £1 bn0.01%
Over £1bn to £1.5bn0.02%
Over £1.5bn to £2bn0.03%
Over £2bn to £3bn0.04%
Over £3bn0.05%

The discount is available to all share and unit classes of Quilter Investors funds domiciled in the UK, except for Quilter Investors Global Dynamic Equity Fund and Quilter Cheviot Global Income and Growth Fund at this time. These funds operate different charging structures with existing discount provisions.

Quilter Investors is aiming to share the success and economies of scale of funds with investors as the cost of operating those funds decreases.

Based on its current AUM, the Quilter Investors Cirilium Moderate Portfolio would see a 0.04% discount applied, reducing the fixed ongoing charge of the class R shares to 0.99%. A further seven funds are also expected to have a smaller discount applied. 

The new discounts follow the reduction in the fixed ongoing charges of the Cirilium and Cirilium Blend portfolios in March, part of the ongoing improvements being made to the portfolios.

Marcus Brookes, chief investment officer and managing director, Quilter Investors, said: “Particularly in this challenging environment, it is crucial we look for new and innovative ways to reduce the overall cost of investing for investors. Our success is their success and we want to pass on any economies of scale to ensure the charges for them are as low as they can be. 

“Together with our reduction in the charges of the Cirilium and Cirilium Blend portfolios, we offer advisers and their clients a compelling range of portfolios across a variety of investment styles and price points. We want our investment products to be agile and respond to the needs of advisers and their clients, and this is the latest step in driving value where we can.

“We have many more exciting developments in the pipeline and look forward to further enhancing our investment proposition advisers and their clients.”

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