With effect from 1st October 2010 several Investec funds will have higher charges. On the Skandia Investment Solutions platform the following will apply:

Investec Cautious Managed
AMC increasing from 1.25% to 1.50%

Investec Global Bond
AMC increasing from 0.75% to 1.00%

Investec Managed Distribution
AMC increasing from 1.25% to 1.50%

Investec Monthly High Income
AMC increasing from 0.95% to 1.25%

Investec Strategic Bond
AMC increasing from 0.75% to 1.00%

On the old Skandia Life platform charges have also risen for:

Skandia Investec Cautious Managed
TER up from 0.90% to 1.15%

Skandia Investec Monthly High Income
TER up from 1.10% to 1.40%

Skandia Investec Strategic Bond
TER up from 0.80% to 1.00%

Mumbo jumbo… AMC = Annual Management Charge. TER = Total Expense Ratio. The latter represents the annual cost an investor can expect to incur. It is actually the sum of the Fund Managers annual management charge and all other expenses incurred directly by the fund.

These funds are not currently within our portfolios, however some legacy clients may have these funds. The good news is that there are no fund switching costs within any of the Skandia products should you wish to switch away from these funds.

I have written to those that hold these funds.