Retail investors face larger volatility in fund fees than institutional peers

Analysis by Fitz Partners

Retail investors are facing higher volatility in fund fees than their institutional counterparts, analysis from Fitz Partners has found.

According to the analysis, the level of ongoing charges figures (OCF) for retail share classes are often more volatile than institutional and unbundled, or ‘clean' share classes. Over the last twelve months, 17% of 40,000 share classes in Fitz's database experienced a change in their OCF. Among the share classes that experienced a change, 35% saw an increase in fees.  The two largest asset classes with changes in their OCFs were equity and bonds, with 30% of both equity and bonds funds share classes with a change in fees showing an increase. St James's Place exit fee overhaul welco...