Benefits and Risks of the Global Equity Tracker
Benefits of the Global Equity Tracker Service
- You can move in and out of the markets quickly
and at considerably less cost than any other globally diversified
portfolio approach can permit
- No stamp duty
- Fairbairn Private Bank will actively monitor the geographical
allocation in line with the benchmark, review this at least
quarterly and realign where necessary
- Regular savings are possible through a quarterly, six monthly
or annual standing order that is invested (free of commission) on
the quarterly review dates. Alternatively, lump sum
investments can be made at anytime subject to a commission charge
of £250.
Risks of the Global Equity Tracker Service
- The value of your investments and income from
them can fall as well as rise and you may not get back the original
amount invested
- Exchange rate changes may affect the value of
your investments
- In view of possible exchange rate and market
price movements between receiving the client's instruction,
determining the asset weighting and placing the deals in the
market, the actual amount invested may be more or less than the
expected initial cash investment.
The total cost charged by Fairbairn Private Bank can
therefore be lower than 0.5% per annum inclusive of all custody
holding fees and is therefore comfortably contained within the
1% p.a. charge recommended by the Sandler Review. Costs can have a
significant impact on the returns of long-term investors and for
this reason it makes perfect sense to look at all inclusive, cost
effective investment vehicles such as the Focus Investor Global
Equity Tracker.