Charges Explained

There are a few charges that may be applied to the funds in which you invest with Slater Investments. Below you will find an explanation of these costs in relation to our funds and why you may be subject to them when you invest.

 

One-off Charges

Initial Charge:

Slater Investments does not charge any initial charge. 

Exit Charge:

Slater Investments does not charge any exit fees. 

Ongoing Charges

Annual Management Charge:

This charge is to cover the annual costs of running and managing the fund. They are levied as a percentage of assets, with the level depending on the class you are invested in. These are shown on the factsheet and KIID for each fund.

Ongoing Charges Figure (OCF):

The OCF covers all aspects of operating a fund during the course of its financial year. The OCF excludes portfolio transaction costs except for an entry/exit charge paid by the fund when buying or selling units in another fund and may vary from year to year. 

Independent Oversight

  • Depository/Trustee oversight
  • Safe-keeping of the fund's assets
  • Auditor's fees
  • Regulators fees

Administration

  • Customer Service
  • Keeping a record of your investment
  • Paying any income due to you
  • Sending progress reports to you
  • Telling you how much your investment is worth

Operating the Fund

  • Maintaining fund accounting records
  • Valuing the fund assets
  • Calculating the daily price
  • Producing reports
  • Complying with investment rules


Single Priced Funds

All the Slater Funds are single priced. This means that a single price is applied to any transaction in the particular Fund, regardless of whether an investor is purchasing or redeeming shares/units. The single price is based on the mid-market valuation of the underlying investments less liabilities of the particular Fund. This is known as the net asset value of the Fund (the "NAV").

The actual cost of purchasing or selling shares/units in the Fund may be higher or lower than the mid-market value used in calculating the relevant share/unit price. This is because the single price at which investors buy or sell their shares/units does not necessarily reflect the dealing costs arising when investing new money into the Fund or selling assets in the Fund's portfolio when investors leave. 

These costs may include dealing charges, commissions, taxes and the effect of dealing prices other than mid-market price.  Such dealing costs are generally payable by the Fund, and significant flows in or out may have a materially disadvantageous effect on all of the investors in the Fund, including those who are not responsible for generating the costs. This is known as dilution. 

We believe in protecting the interests of existing or remaining investors in the Fund by taking steps to minimise the effect of dilution and apply a dilution adjustment to the price of shares (also known as "swing pricing") which protects continuing shareholders from the dilutive effect that comes from large new investments or redemptions. Swing pricing is designed to ensure that the Fund is priced in a manner which treats all investors in the Funds fairly.

How is the swing price calculated:

We will calculate the NAV for the Fund and then, if considered appropriate, swing the NAV-based single price according to the rate of the applicable dilution adjustment. The determination to swing the share price in respect of the Fund will be made following a consideration of the net dealing activity (i.e. purchases or redemptions) in the Fund on that dealing day. An adjusted price will be the price of shares/units in the Fund for all deals that day. Please note, we may, in our discretion, decide not to swing the price on any day if we determine that continuing investors in the fund will not normally be materially adversely affected. Full details are available in each fund's Prospectus, which can be found here.