Fees and costs

Changes from 2 October 2018

Changes from 2 October 2018

Below is an overview of the fees that have changed from 2 October 2018 and may be applicable to your managed fund account with Australian Ethical.

You will need to read each Fund’s Product Disclosure Statement (PDS) for the full list and explanation of fees and costs, as well as examples on how these fees and costs affect your investment.

If you consult a financial adviser, additional fees may be payable to the adviser. You should refer to the Adviser’s Statement of Advice for details.

Managed Fund – Buy/Sell spreads Change from / to
Income Fund Nil Nil
Fixed Interest Fund Nil Nil
Balanced Fund 0.15 / 0.15 0.10 / 0.10
Advocacy Fund 0.15 / 0.15 0.10 / 0.10
Diversified Shares Fund 0.15 / 0.15 0.10 / 0.10
Australian Shares Fund 0.15 / 0.15 0.20 / 0.20
International Shares Fund 0.20 / 0.20 0.10 / 0.10
Emerging Companies Fund 0.20 / 0.20 0.20 / 0.20
Retail Managed Fund – Management costs~ Change from / to
Income Fund 1.00 p.a. 0.50 p.a.
Fixed Interest Fund 1.50 p.a. 1.00 p.a.
Balanced Fund 2.42 p.a. 1.81 p.a.
Advocacy Fund 2.20 p.a. 1.90 p.a.
Diversified Shares Fund 2.20 p.a. 1.90 p.a.
Australian Shares Fund 2.50 p.a. 1.99 p.a.
International Shares Fund 2.20 p.a. 1.85 p.a.
Emerging Companies Fund 2.20 p.a. 1.99 p.a.
Wholesale Managed Fund – Management costs~ Change from / to
Balanced Fund 0.85 p.a. 0.91 p.a.

~ Indirect costs, which amount to 0.06% for the Balanced Fund are included in the Management Cost. The indirect costs for all other funds are Nil.
The indirect costs are calculated at 30 June each year based on the previous 12 months. These may change from year to year. In 2018-2019, we continue to build out our investment in alternative and property assets using specialist asset managers. In 2018-2019, fees and  costs for new external asset managers will be incurred by the Balanced Fund with an estimated range between 0.10% and 0.12%. The indirect costs for all other Funds are estimated to be Nil for the 2018-2019 period.

Type of fee or cost Definition
Buy/sell spreads buy/sell spread is a fee to recover transaction costs incurred by Australian Ethical Investment in relation to the sale and purchase of assets of the entity.