Aberdeen Asset Managers Tracker Isa and Share Plan launched

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Aberdeen Asset Managers Tracker Isa and Share Plan launched

Tue 25th Apr 2006

The Aberdeen Asset Managers Tracker Isa and Share Plan has been unveiled today, with the company claiming that it is "the lower cost way to access the potential of stock market returns".

Products in this range will track the performance of a share index and offer total expense ratios (TERs), which act as a guide to the cost of how your money is managed in each fund.

Aberdeen claims that TERs can lead to these investment options being up to 50 per cent cheaper in terms of expenses than many tracker unit trusts offered on the high street.

Among the products in the range are an Edinburgh UK Tracker Trust, with a TER of 0.49 per cent, a US Tracker at 0.29 per cent and a UK Smaller Companies Tracker at 0.83 per cent.

"Trackers play a valuable role in risk diversification and for many private investors' portfolios," said David McGraw, head of Edinburgh's tracker team.

"However, not all trackers are the same – some unit trust trackers can be over twice as expensive as others."

The company claims that the main costs to investors in the Aberdeen Asset Managers Tracker Isa and Share Plan products are a stamp duty of 0.5 per cent and the difference between the buying and selling prices of their shares.

Isa investors will pay £24 plus VAT annually for the administration of their product.