How does the supermarket work?
The supermarket centralises the administration, making it more efficient and lowering costs which pay for the enhanced services on offer. Rather than each fund manager dealing with individual investments, the supermarket takes over this role and becomes the account manager. Once a day the supermarket will amalgamate orders for each fund and fund manager and place one BUY or SELL deal. The supermarket then allocates the correct amounts to each investor and sends a contract note confirming each individual order. The supermarket deals with all the tax reclaims (for ISAs and PEPs), statements and valuations. Privacy is enhanced as each fund manager does not know the names of individual investors – only the supermarket knows these details. The cost savings mean that the whole supermarket operation, from online account opening to on-going service and management is free to the investor. Initial and annual fund charges remain the same, with the normal Torquil Clark discounts applying.
