AJ Bell slashes investing fees and boosts interest rates
Quote from VATcal on 26/03/2024, 18:44AJ Bell, a popular investment platform in the UK, has announced a significant reduction in their fees and a boost to the interest rate offered on customer cash balances. These changes, effective from April 1st, 2024, are estimated to save investors a total of £14 million annually.
The move comes after pressure from the Financial Conduct Authority (FCA) regarding investment platforms' practices on fees and interest. AJ Bell has responded by making their platform more competitive:
- Reduced Dealing Charges: The cost of buying and selling shares, ETFs, investment trusts, gilts, and bonds will fall from £9.95 to £5 per trade. Frequent traders, defined as those making 10 or more trades in a month, will see their fees drop from £4.95 to £3.50 per trade. Phone trades will also see a reduction, going down to £25 from the previous £29.95.
- Increased Interest Rates: AJ Bell will also be offering improved interest rates on cash held within ISAs, SIPPs, and pension drawdowns.
AJ Bell highlights that these changes had already been factored into their recent annual results. They believe this improved pricing structure will not only benefit customers but also strengthen their position in the investment platform market.
AJ Bell, a popular investment platform in the UK, has announced a significant reduction in their fees and a boost to the interest rate offered on customer cash balances. These changes, effective from April 1st, 2024, are estimated to save investors a total of £14 million annually.
The move comes after pressure from the Financial Conduct Authority (FCA) regarding investment platforms' practices on fees and interest. AJ Bell has responded by making their platform more competitive:
- Reduced Dealing Charges: The cost of buying and selling shares, ETFs, investment trusts, gilts, and bonds will fall from £9.95 to £5 per trade. Frequent traders, defined as those making 10 or more trades in a month, will see their fees drop from £4.95 to £3.50 per trade. Phone trades will also see a reduction, going down to £25 from the previous £29.95.
- Increased Interest Rates: AJ Bell will also be offering improved interest rates on cash held within ISAs, SIPPs, and pension drawdowns.
AJ Bell highlights that these changes had already been factored into their recent annual results. They believe this improved pricing structure will not only benefit customers but also strengthen their position in the investment platform market.
