Your Account will also incur indirect costs incurred due to the fees and costs associated with the underlying investments in the selected Model Portfolio/s. The current indirect costs information for each Model Portfolio is set out in the Investment Menu.
Indirect costs are deducted by the underlying managed fund/ETF and are included in the ETF price.
They are not separately deducted from your Account. The fund manager charges these management fees regardless of whether you held them through InvestSMART or your own brokerage account.
For example:
You hold the InvestSMART Conservative Portfolio. One of the holdings is an ETF called the iShares MSCI Australia 200 ETF (IOZ). It has a 0.09% p.a. management fee charged by Blackrock within the fund. If it is currently trading at a Sell/Buy price of 28.68/28.70, then 0.09% would be taken from the Sell price (as this values your holding of IOZ). This would then be calculated on a monthly basis.