Schroders will reduce its management fees across 16 of its funds in October and its sustainable themed funds will have an average fee reduction of 28%.
The funds with the reduction were across Australian and global equities, Australian and global fixed income, and multi-asset.
Schroders Australia chief executive, Chris Durack, said: “Schroders’ sustainable themed funds benefit from an average fee reduction of 28%, while fees for the wholesale class of the Schroder Wholesale Australian Equity fund - one of the longest standing active Australian equity funds – will decrease by 13%.
“There will also be significant fee reductions for the wholesale classes of the Schroder Global Emerging Markets fund (from 1.4% a year to 1% a year) and the Schroder Asia Pacific fund (from 1.37% a year to 1.1% a year). Further, fees for the popular Schroder Real Return CPI Plus 5% fund will reduce from 0.9% a year to 0.85% a year.
“With ongoing challenges across our industry, it’s never been as important as it is now to ensure that fee levels are competitive.”
Schroders told Money Management that the last major review of their fees across a broad range of funds was in 2008.
Schroder fee changes