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Fund managers are charging less but collecting more

Investment firms have done well out of an increase in assets under management, driven mainly by rising markets, consultant says

Fund managers are charging less but collecting more

Although fund managers' fees are falling, under threat from index-trackers, their clients are still paying them more.

While headline fee rates have fallen, rising equity and bond markets have pushed up the amounts paid by pension schemes in fees to active managers by as much as 70% since 2011, even where a fund fails to outperform the wider market, a survey by consultants Lane Clark & Peacock has found.

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