Quantcast
Menu
Save, make, understand money

Investing

Mobius’ £2bn investment trust cuts fees

Dan Jones
Written By:
Dan Jones
Posted:
Updated:
05/06/2014

The £2bn Templeton Emerging Markets investment trust (TEMIT) has proposed a fee cut as it prepares to mark 25 years of existence.

The fund, which has been run by Mobius (pictured) since launch in June 1989, will cut fees from 1.2% to 1.1% as of 1 July, in accordance with proposals put forward by managers Franklin Templeton.

It follows a number of other fee cuts in the investment trust space; the board said it will continue to monitor further developments in the market “as regards both structure and quantum of charges.”

“[We] believe that this lower level of management fee, together with the liquidity of the Company’s shares and the relatively stable discount, maintains the overall attractiveness of TEMIT as an emerging markets investment,” the board said.

The trust currently sits on a discount of 7.3%, according to Winterflood, following a difficult period for emerging markets.