Legg Mason reduces minimum investments to attract SMSFs
Legg Mason is seeking to increase its presence among retail and self-managed superannuation fund (SMSF) investors after dropping its minimum investment amounts for five funds by 85 per cent.
All five of the funds offer Australian-domiciled investments and have had their minimal investment amounts reduced from $200,000 to $30,000. The higher minimum investment figure was first set for wholesale investors and platforms which will be able to access the funds at the new lower levels as well.
Legg Mason Australia head Annalisa Clark stated the change was in response to growing interest from financial planners and retail investors in accessing Legg Mason funds directly.
Clark said the lower minimums were aimed at investors within the SMSF sector, with the investment manager responding to the changing needs of clients and how they wanted to invest with Legg Mason.
The five funds on offer with the lower entry amount are Australian Real Income, Australian Equity Income, Australian Small Companies, Australian Bond and Diversified.
Clark said Legg Mason had begun to use Calastone's straight-through processing service for platform fund flows, joining the ranks of Fidelity, Goldman Sachs AM, Equity Trustees, Ausbil Dexia and Investors Mutual which also use the service.
Recommended for you
After introducing its first active ETF to the Australian market earlier this year, BlackRock is now preparing to launch its first actively managed, income-focused ETF by the end of November.
Milford Australia has welcomed two new funds to market, driven by advisers’ need for more liquid, transparent credit solutions that meet their strong appetite for fixed income solutions.
Perennial Partners has entered into a binding agreement to take a 50 per cent stake in Balmoral Investors and appoint it as the manager of Perennial's microcap strategy.
A growing trend of factor investing in ETFs has seen the rise of smart beta or factor ETFs, but Stockspot has warned that these funds likely won’t deliver as expected and could cost investors more long-term.
