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IFSL Bestinvest Income & Growth - changes to charging basis

By STEPHEN MARRIOTT 23/03/2009

IFSL Bestinvest Income & Growth - changes to charging basis by Stephen Marriott
Currently, the IFSL Bestinvest Income & Growth fund pays its annual management charge and expenses out of the income received from the underlying portfolio. For income seekers this is not ideal since it reduces the income left over for distribution. To address this and with effect from 1st April 2009, the annual management charge and expenses shall be taken out of the capital of the fund. This will constrain capital growth, but will increase the amount of income available for distribution and so, from a total return perspective, shouldn’t make a difference and is expected to be a more attractive arrangement to the majority of investors. Investors do not need to vote on the changes or make any adjustment to their account.
 
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