Overview
Aberforth Geared Income Trust is cutting the “asset fee” element of its management fee from 1% to 0.9% with effect from 1 July 2015. This is obviously welcome news for its shareholders but it is odd that it didn’t simplify its fee at the same time – from 1 July the fee is:
- 0.9% of the Company’s Net Assets attributable to Ordinary Shareholders; plus
- 5% of the total Income (excluding any tax credit); plus
- Base fee of £69,570 (adjusted annually in line with the UK Retail Price Index)
At the same time Aberforth Smaller Companies Trust has announced its management fee will change on 1 July to 0.75% of the net assets up to £1bn and 0.65% on the balance. Net assets currently stand at £1.22bn.
AGIT / ASL : Aberforth funds cut management fees