The FSA Spy market buzz – 22 November 2024
Dimensional excludes the Middle Kingdom; JP Morgan’s optimistic outlook; Household wealth is rocketing; Schroders is thinking about privates; Ninety One’s pithy AI; German woes and much more.
HEAD-TO-HEAD: Abrdn versus Alquity
FSA compares two global sustainable equity products: the Aberdeen Global Sustainable and Responsible Investment Equity Fund and the Alquity Global Impact Fund.
Fees
Management fees and other expenses charged by funds are important because they have a direct impact on returns for investors.
The ongoing charges figure (OCF) for the Abrdn fund is 1.69%, lower than the median OCF of 1.87% for the equity international category of funds available to Hong Kong retail investors, according to FE Fundinfo data.
In contrast, the Alquity fund fees are the highest in the sector, at 3.00% a year, and in addition claims a 15% performance fee above cash plus 5%.
“The fees charged by the fund are high, especially considering its quantitative approach means that the product is quite low maintenance,” said Liu.
Partly mitigating the substantial fees, Alquity donates 10% of them to charity.
Related Stories
Promoted Content
-
Accessing India’s tech future
-
Investors turn to real estate for alternative income
-
Don’t get left behind in fixed income
-
China bonds: plugging the yield gap
-
Who’s afraid of higher interest rates?
-
Smartphones on wheels
-
How ETFs offer an active way to drive sustainable returns
-
Ninety One: Finding opportunities in times of change
-
Federated Hermes SDG Engagement Equity: 2021 H1 Report
-
Conditions in the high yield market
