Question
Following on from your answer to my last question can you confirm where I would get a letter to change the agent on my investments please - is this something I compose or obtain from somewhere?
Does this mean the investments remain with Fundsnetwork but the trail commsion gets paid to someone else? - I was going to use the Share Centre for my future dealings.Answer
The financial adviser or discount broker that you change the 'agency' to will almost always supply an appropriate letter or form for you to sign. It simply needs to include your details and be addressed to the fund/platform provider, stating that you want to the new adviser/broker to become the agent for the investment, allowing them to request relevant information and receive any commissions payable. The investments are unaffected.
So in your case, moving the agency on your FundsNetwork investments from broker A to broker B means that broker B will receive any ongoing trail commission in future. The investments will remain unchanged with FundsNetwork. The usual reason for changing agency is to either switch to a better financial adviser or use a discount broker who rebates trail commission, saving you money.
If you want to use Share Centre then due to FundsNetwork's unfair practice (covered in your last question) you'll have to sell the investments then repurchase new ones with the proceeds. As an alternative to Share Centre take a look at Alliance Trust Savings (read my review here) who look very competitive if you want to hold both funds and shares as they rebate trail commissions.
If you want to cut costs and are happy to remain with FundsNetwork then consider changing agency to a discount broker like Cavendish Online who rebates all trail commission in exchange for a small admin fee. It's a simple way to cut costs if you don't need the research and guidance provided by Bestinvest.
Following on from your answer to my last question can you confirm where I would get a letter to change the agent on my investments please - is this something I compose or obtain from somewhere?
Does this mean the investments remain with Fundsnetwork but the trail commsion gets paid to someone else? - I was going to use the Share Centre for my future dealings.Answer
The financial adviser or discount broker that you change the 'agency' to will almost always supply an appropriate letter or form for you to sign. It simply needs to include your details and be addressed to the fund/platform provider, stating that you want to the new adviser/broker to become the agent for the investment, allowing them to request relevant information and receive any commissions payable. The investments are unaffected.
So in your case, moving the agency on your FundsNetwork investments from broker A to broker B means that broker B will receive any ongoing trail commission in future. The investments will remain unchanged with FundsNetwork. The usual reason for changing agency is to either switch to a better financial adviser or use a discount broker who rebates trail commission, saving you money.
If you want to use Share Centre then due to FundsNetwork's unfair practice (covered in your last question) you'll have to sell the investments then repurchase new ones with the proceeds. As an alternative to Share Centre take a look at Alliance Trust Savings (read my review here) who look very competitive if you want to hold both funds and shares as they rebate trail commissions.
If you want to cut costs and are happy to remain with FundsNetwork then consider changing agency to a discount broker like Cavendish Online who rebates all trail commission in exchange for a small admin fee. It's a simple way to cut costs if you don't need the research and guidance provided by Bestinvest.
Read this Q and A at http://www.candidmoney.com/questions/question339.aspx
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