My investigation for Times Money
New rules from April mean that anyone investing through a platform, a type of online dashboard for fund portfolios, will typically pay only 1 per cent in fees because the companies behind these tools are being forced to make charges lower and more transparent.
The watchdog is not, however, cracking down on historic funds arranged through fund managers, who usually charge 1.5 per cent. This could mean a difference of more than £3,000 over ten years for investments worth £50,000 returning 5 per cent a year.
Gina Miller, of the True and Fair Campaign, described the situation as an absolute scandal. She says: “The regulator that is meant to protect the consumer is dragging its feet.”
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