Charges

Investing with Schroders should be easy, so we have tried to make the investment process as simple and as clear as possible. Below you can find information on Schroders’ products, charges and even an investment guide to help you get started.

harges and costs can have a real impact on the returns that you get from a fund so it's important to know what you will pay when you invest. Here we try to make it as clear as possible.

We are simplifying our charges 

On 1 December 2020 and 1 March 2021 we are making changes to our fee structure so that investors have a clearer view of the costs of their investments. Neither of these changes will result in higher fees for our investors. On 1 December 2020 we introduced discounts for our largest funds and from 1 March 2021 we will consolidate our various charges into a single annual fee so that you have a clearer view of the costs of your investments. Find out more and see our FAQs here and to view a list Before & After fees click here. 

What charges and costs will you pay for investing in a Schroders' fund? 

Charges and costs 

Paid by investors 

Ongoing charge (including the Annual Management Charge) 

This covers the Schroders Annual Charge, costs for holding underlying funds and extraordinary costs. It does not include payments to your financial adviser and/or any other firm through which you invest. You pay for these services directly. 

Yes 

Portfolio transaction costs 

These are the expenses incurred by the fund when buying and selling assets on behalf of its investors. Portfolio transaction costs are made up of the broker commissions and stamp duty incurred as a necessary part of buying and selling the funds’ underlying investments in order to achieve their investment objectives. In the case of shares, portfolio transaction costs are paid by the fund on each transaction. 

Yes 

Entry charge 

Otherwise known as ‘initial charge, this may be taken from your money before it is invested. From 1 Jan 2013, it does not include commission to advisers, but platforms or execution-only brokers may take a percentage. 

No 

Exit charge 

May be taken before the proceeds of your investment are paid out. Very few funds will have an exit charge. 

No 

Performance fee 

Performance fees are charged separately as a way of rewarding the investment manager for superior returns or for outperforming specified targets. Schroder UK Dynamic Absolute Return fund is the only fund that currently charges a performance fee. 

One fund only 

Our funds are all single priced - with a single priced fund there is a single price for buying and selling units or shares in the fund on any one dealing day. Single-priced funds can swing the single price of a fund unit upwards when there are more buyers than sellers of fund units or shares or downwards where there are more sellers than buyers of fund units or shares. 

Dilution - investors in a fund can be adversely affected by other investors subscribing or redeeming from a fund. This effect is known as dilution. Dilution occurs when large deals in and out of a fund cause the fund manager to buy or sell the underlying investments of the fund thereby attracting trading costs which are borne by the investors in that fund. 

Swing pricing - is a mechanism to reduce dilution and protect ongoing investors. It aims to ensure that investors subscribing or redeeming from a fund bear a portion of the trading costs, i.e. the underlying spreads and transactions costs. Each fund has a swing factor, also known as a anti-dilution adjustment, which is an estimate of the underlying dealing spreads, transaction charges, and taxes. 

 

See a detailed breakdown of the charges and costs of our funds including the Schroders Annual Charge from the 1 March 2021.

Download the latest KIID, Report & Accounts and other literature for each of our unit trust/ OEIC. 

Each year we publish an Assessment of Value for all the funds managed by Schroders Unit Trust Limited, which is available here. 

Visit the Investment Association website to access further information about charges and costs on funds. 

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Please remember that the value of investments and the income from them may go down as well as up and investors may not get back the amounts originally invested.

Marketing material

Issued by Schroder Unit Trusts Limited, 1 London Wall Place, London EC2Y 5AU. Registered Number 4191730 England.

Schroder Unit Trusts Limited is an authorised corporate director, authorised unit trust manager and an ISA plan manager, and is authorised and regulated by the Financial Conduct Authority.

On 17 September 2018 our remaining dual priced funds converted to single pricing and a list of the funds affected can be found in our Changes to Funds. To view historic dual prices from the launch date to 14 September 2018 click on Historic prices.