Exchange Traded Products & Investment Trusts

There are now more than 80 Exchange Traded Products (ETP’s) and 90 Investment Trusts (IT’s) that you can invest in through the Cavendish Online FundSupermarket. Please download the following pdf’s to view those that are available to our clients, ETP's and IT's.

You can hold ETP's and IT's within ISA, non-ISA and Pension accounts.

Charges

With ETP’s and IT’s you will pay the same platform charges that you would with Unit Trusts and OEIC's, ie the Fund Manager charge, the FundsNetwork platform fee of 0.20% per annum and the Cavendish Online Ongoing Fee of 0.05% per annum.

There are some additional charges that you should also be aware of;

Stamp Duty Reserve Tax (SDRT)
If you purchase an IT that is domiciled in the UK you will pay SDRT at the rate of 0.5% of the value of the transaction. You will not pay SDRT when selling IT’s, neither will you pay SDRT when buying or selling ETP’s.

Dealing fee
If you buy, sell or switch an IT or an ETP you will pay a dealing fee of 0.1% of the value of the transaction.

PLEASE BE AWARE: FundsNetwork will be replacing the 0.1% fee with a £10 fee when they move ISA, JISA and Investment accounts to the new platform in November or December 2017. For any regular transactions (eg regular savings, dividend reinvestments) the dealing fee will be £1.50 on the new platform. For Pension accounts these will not be migrated to the new platform until later in 2018, therefore the dealing fee will remain at 0.10% until then just for Pensions.

Performance fee
Some IT’s also charge a performance fee which are paid to the manager if they meet certain criteria.

Dealing

Deals are placed in bulk once a day, ie you will not receive 'real time' prices. The cut off time for our clients to place their deals is 11am each working day.

FundsNetwork will bulk together all deals in ETP's and IT's and will then request JP Morgan to place these deals in the market at around 12pm each working day, although this could be delayed due to volumes and trading activity in the market.