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Authorised Overdraft Overdraft

When your bank account has a negative balance, with the bank's permission. Terms are usually favourable compared to an unauthorised overdraft.

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If you have an investment that pays an ongoing trail commission to a financial adviser (e.g. unit trust), then are you getting value for money?

The adviser might not be giving any ongoing service or advice. And, even if they are, is it worth the amount of commission they receive?

Use this calculator to estimate how much trail commission could reduce your overall investment return. If the amount seems excessive, then consider switching to a fee-based adviser or discount broker who reinvests all of this commission for you.

Trail Commission Calculator
Annual fund charge ? % Annual trail commission ? %
Initial investment £ Regular contribution £ pm
Period years Annual return ? %

Assumes a fixed annual return throughout, in practice this will likely vary. Lost investment return compares normal fund return to the return if 100% of trail commission is rebated monthly. When saving monthly bear in mind that the trail commission will increase with the amount invested, so the average annual figure shown will be a lot higher than the adviser is likely to receive in the early years.

Calculations are estimates provided for illustrative purposes only. Candid Money Limited accepts no liability whatsoever for their subsequent use.

Go to Calculators Homepage.