Three separate charge bases
Quilter's platform has three separate charge bases developed to support commission and adviser charging. Depending on the products invested in, each charge basis has a different set of terms and conditions and funds list.
The charge bases are applicable in the following circumstances:
Charge basis 1
This is for existing CRA and CIB accounts as at 31 December 2012 that have not been subject to a 'disturbance event' since 31 December 2012. It allows commission payments already in place to continue unchanged and includes Quilter’s fixed price Investor Charge.
Charge basis 2
This applies to existing CRA and CIB investments as at 31 December 2012 that have been subject to a 'disturbance event' after 31 December 2012.
Charge basis 3
Adviser Charging replaces Investor Charge with a Product/Service Charge (depending on the type of investment), based on a percentage of all investments held. Customers on Charge Basis 3 also receive the full fund manager rebates. This charge basis is applicable to:
- All new investments started after 31 December 2012
- All ISA and CIA accounts
- Where a client holding a CRA as at 31 December 2012 has since elected to move to Charge Basis 3.
Making the cost clear for investments on each charge basis
Who is paid what under the new charging arrangements?
The table below shows the individual charges associated with each charge basis and who receives them:
| Who | Charge basis 1 | Charge basis 2 | Charge basis 3 |
| Quilter's charge | Investor Charge Fixed charge (currently £84.34 per annum). |
Investor Charge Fixed charge (currently £84.34 per annum). |
Quilter Service or Product Charge Percentage of your platform holdings. |
| Financial adviser payment | Commission (fund based/nominated trail) |
Adviser Charging | Adviser Charging |
| What fund manager charges apply? | Total expense ratio (TER) In full (see below). |
Total expense ratio (TER) Less customer account credit (see below). |
Total expense ratio (TER) Less rebate in the form of fund units (see below). |
| What fund manager rebates are paid to the client? | Not applicable Quilter retains rebates and uses them partly to pay fund based trail commission and partly to cover our costs. |
Customer Account Credit This is the amount of rebate equal to fund based commission that is re-invested in the form of fund units. |
Full rebate Reinvested in the form of fund units. |