IFAs warn providers: Don't let low cost funds be next Absolute Return

Fund experts are predicting other managers will quickly follow groups like JPMAM and Schroders and launch low-cost active funds to challenge the rise of passive vehicles like ETFs and prepare for RDR pricing changes. However, advisers fear many of these ‘me-too’ launches could mis-fire in the longer term. They even liken them to funds in the absolute return sector which launched to much fanfare in 2008 but often failed to do what they said on the tin. Ben Seager-Scott, senior analyst at Whitechurch Securities, said: “I am confident the likes of Schroders and JPMAM can carry this appro...