How does your multi-asset fund compare? Rise of passives increases pricing pressure

According to data by fund research firm Defaqto, the average ongoing charges figure (OCF) in 2014 for a multi-manager fund was 1.73%, falling to 1.49% this year. For a multi-asset fund, the average OCF has dropped from 1.34% to 1.18% over the same period.  The firm said a key reason for the fall is the increased popularity of index funds and ETFs, which are significantly cheaper than active funds. Its figures show the average UK equity ETF charges 0.33%, while a UK fixed income ETF has an average fee of 0.17%.  A comparison of the various Investment Association multi-asset sectors, in...