The cost of trading UK equities is running at its highest level for three years, despite an increase in trading volumes and efforts by regulators to bring expenditure down.
However, pension funds and their investment consultants continue to ignore the cost of trading, according to research by Plexus, a specialist consulting firm that monitors transaction costs. The average cost of trading UK equities was 71 basis points in the second quarter â excluding stock exchange fees and stamp duty â compared with a low of 30bps in the third quarter of 2004, based on analysis of over 250,000 trades.
