Fundsupermart New Pricing Structure: Platform Fee??

[momo]

Hi,

Has this been posted already?

http://www.fundsupermart.com/main/resea ... cleNo=3992

Platform Fee?? I'm at a loss of words. Is there a better alternative to FSM to keep and buy UT??

[boing]

Oh shucks I didn't notice it. I don't see why I should pay 0.5% every year when they do not provide me with any ongoing advice. Gonna have to switch out my holdings to Dollardex asap!

[boing]

Btw why did they not email their investors to inform them, when the fees are kicking in tomorrow? I find this non-disclosure rather dishonest. They can't expect their investors to be monitoring their website everyday.

[starlight1968sg]

Totally unacceptable for paying the platform fee for cash/SRS funds!

Who knows DD may be following soon ?!

[boing]

Honestly, if I were willing to pay a wrap fee, I would have used a financial advisor. Considering that most of their investors are DIY investors who hate paying ongoing fees, I think this is going to be a terrible commercial decision for them.

[momo]

Agree.. Suddenly got a "wrap" fee?? Totally unacceptable! It will just compound and erode the returns!

How now? Is DollarDex the next best alternative? DD's sales charge is higher though... but definitely better than the sudden 0.5% pa wrap fee!

[boing]

There are a couple of other distributors, like Aviva, Poems, and the local banks. You should look around to make an informed decision, but every day wasted is another day paying the fees! Remember that the transfer process takes 6-8 weeks to complete.

[starlight1968sg]

There are a couple of other distributors, like Aviva, Poems, and the local banks. You should look around to make an informed decision, but every day wasted is another day paying the fees! Remember that the transfer process takes 6-8 weeks to complete.

You mean one can buy direct from Aviva w/o the advisor?

I hate to do the transfer process but if I stay put, this fee EATS into my little potential gain.

[momo]

Platform fee starts from 1 May 2010. Got 1 month to transfer out. But I don't even have other accounts at the moment!

I'm looking for another platform to do RSP for both equity and fixed income funds, cheaply. Any recommendation? No time to research already, I need to open account first.

[starlight1968sg]

Platform fee starts from 1 May 2010. Got 1 month to transfer out. But I don't even have other accounts at the moment!

I'm looking for another platform to do RSP for both equity and fixed income funds, cheaply. Any recommendation? No time to research already, I need to open account first.

You can switch to POEMS or DD, which I plan to do so.

[boing]

There are a couple of other distributors, like Aviva, Poems, and the local banks. You should look around to make an informed decision, but every day wasted is another day paying the fees! Remember that the transfer process takes 6-8 weeks to complete.

You mean one can buy direct from Aviva w/o the advisor?

I hate to do the transfer process but if I stay put, this fee EATS into my little potential gain.

I believe there's a platform called Aviva Direct.

[boing]

Platform fee starts from 1 May 2010. Got 1 month to transfer out. But I don't even have other accounts at the moment!

I'm looking for another platform to do RSP for both equity and fixed income funds, cheaply. Any recommendation? No time to research already, I need to open account first.

Okay I didn't read that carefully. My apologies for my earlier mistake when I said the fee kicks in tomorrow. I sure hope that FSM will notify their investors through email. That would be the right thing to do.

I already have an account w DD for years. I have emailed them to check if there are plans to introduce a platform fee, and will keep all of you updated, once I receive a reply from them.

[momo]

You can switch to POEMS or DD, which I plan to do so.

I briefly checked, POEMS does not have certain funds (which means I cannot transfer in those funds!).

Regarding POEMS and DD, do they have dividend auto-reinvestment (at no charge)?

Thanks.

I already have an account w DD for years. I have emailed them to check if there are plans to introduce a platform fee, and will keep all of you updated, once I receive a reply from them.

Thanks!

[penumbra]

I sure hope that FSM will notify their investors through email. That would be the right thing to do.

they did. i had learnt about it from my mailbox.

[penumbra]

when i read about the 0.75% promotion earlier the day, i am actually thinking of shifting my opportunity funds into fundsupermart (till 22 april). with this development however, i guess i just have to re-weigh my options.

[boing]

I sure hope that FSM will notify their investors through email. That would be the right thing to do.

they did. i had learnt about it from my mailbox.

Not me. I just scoured through my email, and it wasn't there.

[boing]

I have absolutely no experience with Aviva Direct or POEMS. Anyone would like to share the pros and cons of those two platforms?

[Private Investor]

Btw why did they not email their investors to inform them, when the fees are kicking in tomorrow?

I only recieved their email notice today at 22:39hrs. So last minute

[Private Investor]

Totally unacceptable for paying the platform fee for cash/SRS funds!

Who knows DD may be following soon ?!

The quarterly platform fee of 0.05% for the cash fund will also be waived until February 2011. I can't believe cash fund also need to have this charge. Going to withdraw all my emergency money in cash fund by end of this yr. After deducting 0.2% p.a. (for the platform fee), the interest offered from the bank is now not worst off than cash fund

[boing]

Btw why did they not email their investors to inform them, when the fees are kicking in tomorrow?

I only recieved their email notice today at 22:39hrs. So last minute

Strangely I didn't get that email. They probably think that one month's notice is enough, since the fees are kicking in on 1 May. However, transferring to another platform takes 6-8 weeks.

[Private Investor]

Who knows DD may be following soon ?!

Can be either way. DD may use this opportunity to attract FSM clients to use their platform. If this move is badly taken, don't think DD will follow suite

[penumbra]

Platform Fee?? I'm at a loss of words. Is there a better alternative to FSM to keep and buy UT??

after going through the new pricing structure, i am glad that fundsupermart finally improves the fsm reward programme to put it on par with dd and poems with a 1% sales charges. it's a pity that the platform fee going to be implement by fsm on 1 may is likely to throw the financial-savvy towards dd.

poems is equally good. it's just a pity that they don't have free-switching. so i think i will rank fsm above poems. fsm used to be in 3rd position. 1 april 2010 changes that.

[Private Investor]

You mean one can buy direct from Aviva w/o the advisor?

Yes

http://invest.avivadirect.sg/SG/

[Rommie2k6]

So late then send email when the changes are coming into effect in less than 30min time!
Luckily, the platform fee is one month away... and to think I just closed by DD account not too long ago as it was idle.

Based on what they say:
Equity Funds: 0.125%/quarter = +0.50% to annual expense ratio
Bond Funds: 0.05%/quarter = +0.20% to annual expense ratio

Thanks a lot FSM! As if local unit trust were not already expensive enough!!!

Btw, does anyone know how they are going to deduct the platform fees? Is it a transparent deduction from our funds or is it a payment due every quarter?

Also, they didn't mention anything about money market fund platform fees? So is it safe to assume that it is zero?

[Rommie2k6]

Totally unacceptable for paying the platform fee for cash/SRS funds!

Who knows DD may be following soon ?!

The quarterly platform fee of 0.05% for the cash fund will also be waived until February 2011. I can't believe cash fund also need to have this charge. Going to withdraw all my emergency money in cash fund by end of this yr. After deducting 0.2% p.a. (for the platform fee), the interest offered from the bank is now not worst off than cash fund

Cash Fund is money market not fixed income... and website didn't say any platform fees for money market, so how come it was given a 0.20% platform fee? Can FSM stick to proper definitions!?!