After slashing fees for cashed-up clients, BT Financial Group is to cut its fees for the increasing number of pre-retirees parking their super in wrap platforms.
The new related account pricing schedule, announced today, will see the tiered account-keeping fees for balances of less than $100,000 fall from 0.79 to 0.70 per cent.
All BT Wrap and BT SuperWrap investors are eligible for the discounts if they link between two and four accounts.
For balances between $100,001 and $250,000 the fees are reduced from 0.70 to 0.65 per cent.
The existing lower fees for balances above $250,000 remain at 0.23 per cent to $1 million, 0.09 percent up to $2 million and zero for balances over this amount.
Large dealer groups such as Count Financial had previously pressured Westpac-owned BT to cut its fees for high-net-worth clients.
The pricing comes into effect on September 1.
"As the popularity of transition to retirement strategies increases in the new super environment, we're predicting a corresponding lift in the number of investors who concurrently operate both an accumulation and pension account," BT Wrap product manager Nicholas Bowley said.
"[The pricing] will also benefit BT Wrap investors whose immediate family members hold BT Wrap accounts, or where they have a separate account set up through a business, trust or as a self-managed super fund," he said.
Under the fee reduction, a typical BT SuperWrap investor with a $200,000 super plan and a $300,000 pension plan would see cost savings of around 10 per cent on their annual account keeping fees.
BT estimates that between 10 and 20 per cent of BT Wrap customers will take advantage of this opportunity to lower their fees.
Its wrap platforms now have $36 billion in funds under administration.
