Schroders Personal Wealth has published its advice fees and it will charge clients 175bps for initial advice on pots up to £1m and 65bps for ongoing advice.
The recently-launched advice venture between Lloyds and Schroders will charge clients 175bps for initial advice on pots up to £1m. A fee of £750 for a financial report will be required if the client does not proceed with the adviser's recommendation.
The Schroders Personal Wealth website shows ongoing advice is 0.65% for a client's first £1m with a tiered structure going down to 0.15% for any amounts over £5m.
A client would therefore be paying £650 annually for advice on a £100,000 portfolio with an additional £520 going to fund manager fees, £200 going towards the platform and £350 going towards the discretionary fund management fee.
On top of advice fees clients will pay a platform fee of 20bps, plus fund management and discretionary fund manager (DFM) charges depending on the adviser's recommendation.
Schroders Personal Wealth itself, which is owned 50.1 per cent by Lloyds and 49.9 per cent by Schroders, requires its clients to have a minimum investable assets of £100,000 before taking them on.
Schroders Personal Wealth is targeting individuals who do not use a financial planner in its first marketing campaign, although people in the industry have questioned how lucrative the business model will be.
The Wealth is Personal campaign aims to challenge people's perception of financial planning, a press release said.