IG Wealth Management to unbundle fees for all clients

Starting in the new year, IG Wealth Management will offer greater fee transparency to all clients.

Under a new pricing model in 2019, clients will pay mutual fund advisory fees unbundled from management fees, says a release, so clients can see what they’re paying for advice.

The firm has offered an unbundled fee option (Series U) to wealthy clients since 2013 across its product suite. Jeff Carney, president and CEO, says in the release that these offerings represent “more than 75% of high-net-worth client sales as of the third quarter of 2018.”

The firm will begin offering Series U to households with less than $500,000 in assets during the second quarter of 2019. During 2019’s third quarter, it will start migrating clients to unbundled solutions, a process that will take approximately 12 months, the release says.

In the new year, the firm will also introduce competitive pricing. Starting in March 2019, households with more than $1 million in assets will be subject to advisory fee reductions across multiple client segments.

The combined pricing changes are expected to reduce IG Wealth Management’s annualized weighted average fee rate by 0.03% of assets under management during Q2 2019, the release says.

In a separate release on Thursday, the company says it’s reducing the pool advisory fee and administration fee of its iProfile Fixed Income Pool. Effective on or about Mar. 1, 2019, the pool advisory fee and admin fee maximums will be reduced to 0.05% from 0.25%.

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