How much will the new MAP service cost?

All funds have a fixed annual management charge, plus some additional charges that cover costs such as audit fees and registration fees with the regulator. To compare the costs of one fund to another it is best to use the total expense ratio (TER). The typical TER for an equity-based fund within an Advisory portfolio is about 1.6%. Bestinvest's MAP funds include the cost of the underlying investments and our Investment Management fee. This means the TER of our MAP funds is around 2.1%.

How is the charge taken?

The charge is accrued daily and deducted automatically on a daily basis from the fund's capital or income. So, there will be no invoices for you to deal with.

I am an existing Advisory Service client. What are the charges for switching my portfolio?

Assets held on either the Cofunds or FundsNetwork platforms can be switched into any of the MAP funds for just 0.25%. Assets held via other management groups in can be transferred or sold and reinvested into the MAP service for 0% initial charge.

How frequently do the Portfolios distribute income?

Income	31 January, 30 April, 31 July, 31 October
Defensive	30 April, 31 October
Income & Growth	30 April, 31 October
Growth	30 April, 31 October
Aggressive Growth	30 April, 31 October

Will my ISA wrappers be affected by moving to the MAP service?

No. As the transactions do not incur the cashing-in of your ISAs (they are switched or transfered), this is not a problem.

Can I invest into the MAP service if I have no new money to invest?

Yes. You can simply switch your current holdings to our MAP service. The MAP service is not just for new investments.

Is there a mimimum portfolio size to qualify for the Multi-asset Portfolio?

The minimum portfolio size is £1000.

I am an existing advisory client – why would I pay more for the new MAP Management Service?

The new service offers full portfolio management containing our best investment ideas, with a much wider range of assets than normally available to private investors. We actively manage the portfolios, so you can relax in the knowledge that your portfolio is being monitored with respect to the prevailing market environment.

Will my investments continue to be held within the Cofunds and FundsNetwork Supermarket platforms?

Yes.

What paperwork will I receive?

You will receive a new contract note when the units are purchased, an annual valuation from the fund supermarket and a quarterly valuation from Bestinvest. You can also check fund valuations on our website at any time.

What is an OEIC?

An Open-Ended Investment Company is a pooled collective investment vehicle, in company form. It has a special corporate structure and issues shares instead of units. OEICs first became available in May 1997 and were introduced as a more flexible alternative to established unit trusts.

An OEIC may have an 'umbrella' fund structure, allowing for several 'sub-funds' with different investment objectives. This means you can invest for income and growth in the same umbrella fund, moving your money from one sub-fund to another, as your investment priorities or circumstances change.

Like unit trusts, OEICs provide a way of investing in a broad selection of shares, to reduce the risks of investing in individual shares. So, you have an opportunity to share in the growth potential of stock market investment.

Can I hold the fund within an ISA or SIPP?

Yes you can. Any existing wrappers around your holdings will be unaffected.

Can I hold the investment jointly with someone else?

Yes, provided the fund is not held within an investment wrapper such as an ISA or SIPP.

Does this change affect my income?

To discuss your individual circumstances, please contact the MAP Investment Management Service Team.

If my circumstances change or I don't want to take as much risk as before, can I change from one fund to another within the MAP Investment Management Service?

Yes. This would involve a simple switch transaction if the units are held within an ISA or SIPP, or a sale and repurchase if the units are unwrapped. You are free to discuss your individual circumstances with the MAP Investment Management Service Team and instruct us as to which fund you would like to switch into.

How do I sell my holdings?

By signed written instruction. Clients can either cash in the entire holding or do a part sale.

Can I put more money into my portfolio?

Yes, you can increase your holding at any time. There are a variety of ways to top-up, you can:

1. go online with a debit card
2. contact your adviser for an application form to be returned – with a cheque for lump sum payments, or a completed direct debit form for monthly payments.
3. send in a written instruction with a cheque made payable to the relevant platform. Changes to direct debits can also be done by letter.
4. set up a monthly direct debit of minimum £50 through Cofunds or FundsNetwork.

Could I invest into more than one of the MAP portfolios?

Yes, although the portfolios are designed as stand-alone funds which provide well balanced and fully diversified investments suitable for different investment profiles. As such, they hand not been designed to be blended with each other, but you are free to do this if you wish.

How is my money protected?

Bestinvest don't hold your money – IFSL, who will be holding your money, independently of ourselves, are authorised and regulated by the Financial Services' Authority. Like everyone else operating under the jurisdiction of the FSA, your investment is covered by the Financial Services Compensation Scheme. Please see below for more information on how the Portfolio will be administered.

How is the IFSL Bestinvest Multi-asset Portfolio administered?

BNP Paribas and their subsidiaries will carry out the administrative function. BNP Paribas Securities Services, a wholly-owned subsidiary of BNP Paribas, is the leading European provider of securities services to companies, asset managers and financial institutions worldwide. As at 31 December 2007, assets under custody totalled €3,801 billion and assets under administration €834 billion. Investment Fund Services Ltd (IFSL), which is also a wholly-owned subsidiary of BNP Paribas, will be the fund's authorised corporate director.

Where can I find out what investments are held in my fund?

You will find a list of all the underlying holdings along with the latest commentry from Graham Frost, our Chief Investment Officer within your Client Centre. Just log on to our website (as you would normally do) and click on your IFSL Bestinvest Portfolio holding.

Can the funds go into cash?

Yes they can, in line with asset allocation controls.

How does Bestinvest maintain its impartiality with respect to the rating of competitor funds?

Bestinvest will continue to monitor and rate competitor funds in the same way as we do now. Our independent research will be paramount to choosing the funds held within the service.

Who is managing the portfolios and making changes to the models?

Graham Frost our Chief Investment Officer is the lead manager. The asset allocation and fund selection process does, however, include contributions from many other analysts, investment managers and advisers, as is currently the case.

Why was Graham Frost selected to manage the fund?

Graham Frost holds an MBA from Manchester Business School and is a Member of the Securities Institute. He worked in South Africa in 1982-2001 and held various senior positions in equity and fixed interest portfolio management, including derivative overlays. Before moving back to the UK in 2002, he was Head of Strategy for a Life company and director in charge of offshore fund of fund investments. He was responsible for both segregated and fund of fund mandates. He also managed an S&P award winning unitised global equity fund of funds from Johannesburg, which was first place in its peer group for 1, 3 and 5 years in 2001. From 2002 to 2006, he was UK investment director for the multi manager division of Dexia Private Bank. He joined Bestinvest as CIO in January 2006 and is responsible for fund research and portfolio management strategy. Duties straddling these two areas put him in the ideal position to head up the MAP Investment Management Service.

Which asset classes could be included within the range of investments?

The diversity of the underlying portfolios will be very similar to larger institutional portfolios. This could include closed-ended funds (such as investment trusts), structured products, offshore funds, alternative investments, fund of hedge funds and collective investments etc. This is a considerably wider universe than can be accessed via supermarkets.

Aren't hedge funds and structured products very risky?

Every asset class has inherent and individual risks, which are carefully balanced and actively managed to achieve different investment objectives, through effective diversification and asset allocation.

Does Bestinvest have any of its own money invested in the fund?

Yes, as part of our commitment to our new service, Bestinvest has decided to invest some of its own money, as indeed have many of our staff.

Will all the funds in which MAP Investment Management Service invests be Bestinvest rated funds?

Yes, all the underlying funds will be rated, but some specific asset classes (e.g. corporate bonds or zero dividend shares) which carry lower risk, may not be rated.

How is the asset allocation set?

Asset allocation is set, using underlying asset allocation models, tapping into our in-house expertise through rigorous research.

What happens if markets fall very quickly?

Since our asset allocation models are designed for a minimum investment horizon of three to five years, they should prove resilient to short-term market fluctuations. Plus, as this is a multi-asset portfolio, the risk is balanced across many different types of asset. However, as with any investment, there are no guarantees.

Does this affect my tax situation?

To discuss your individual circumstances, please contact your tax adviser. Whilst Bestinvest can provide information, we are not authorised to provide tax advice.

Will I have to pay tax if I transfer my money between the funds?

If your money is held outside an ISA, SIPP or Bond (or any other tax-efficient wrapper) there may be tax liabilities. To discuss your individual circumstances, please contact your adviser.