Why passive funds are going to be more expensive

New rules mean passive funds - primarily index trackers - will become more expensive for new investors from April. Ed Bowsher looks into how much more you’ll have to pay.

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Thanks to new government regulations, passive funds (primarily index trackers) will become more expensive for new investors in April.

This is bad news because passive funds are a cheap and simple way to invest in the stock market.

In this video we explain why this is happening and how much more youll have to pay if you make a fresh investment in a passive fund.

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Ed Bowsher
Ed Bowsher

Ed has been a private investor since the mid-90s and has worked as a financial journalist since 2000. He's been employed by several investment websites including Citywire, breakingviews and The Motley Fool, where he was UK editor.

 

Ed mainly invests in technology shares, pharmaceuticals and smaller companies. He's also a big fan of investment trusts.

 

Away from work, Ed is a keen theatre goer and loves all things Canadian.

 

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