Avanza, the Swedish platform for savings and investments, has announced that its “world’s cheapest” global equity fund has pulled in SEK1bn (€97m) of net inflows in its first month on the market.
The management fee for Avanza Global is 0.05% and the total annual cost for customers is approximately 0.1%, including annual fee and transaction costs, the manager stated at the time of its launch in August this year.
Avanza Global is a feeder fund that invests in a global index fund, developed after research with Morningstar. With more than 1,500 securities in the portfolio, invested globally, it acts as a global index fund despite legally being a feeder fund.
The fund’s launch has also been cited as a reason Avanza has pushed up its total client number to over 800,000. Åsa Mindus Söderlund, CEO of Avanza Fonder (pictured), said the net inflows indicated that the fund was pitched correctly to meet investors’ needs. The average customer of Avanza remains a 30-year-old male living in a city, but some 40% of new customers are women, suggesting the the customer base is becoming increasingly gender balanced.