Threadneedle, the UK retail investment house, has countered criticism from fund research company Fitzrovia International that its UK retail fund managers do not openly disclose their charges.
Fitzrovia calculates, for each fund, the total annual charges that investors have to pay. It calls this total the Total Expense Ratio (TER). This week Paul Moulton, Fitzrovia's chief executive, described the TER as "the single percentage figure that represents the drag effect on fund performance caused by all annual operating costs, not just the openly disclosed annual management charge", and called on fund managers to disclose their charges more openly.
