How to read this report
If you have..
If you have..
5
Focus on the results of your specific fund. Read your fund page (listed below) where you can performance stats and an overall rating summary.
10
For more context you might want to refresh yourself on the 2022 results and the actions taken. This can be found on pages 8-11 of the report.
30
To understand our assessment methodology, find an in-depth explanation on this and the seven criteria we use to rate our funds in ‘our methodology’. This can be found on page 12 of the report.
60
Alongside reading about our methodology, and your fund’s 2022 and 2023 results, this report can provide you with an in-depth analysis of our overall findings. This can be found on pages 16-18 of the report.
Independent Board Chair
Carole has over 30 years’ experience in asset management and investment consulting.
“Value can be subjective. This is why communication and feedback from investors is so important. We view it as ongoing conversation and assessment – not just a single output or result at a set period in time.”
Executive Director
Sarah is head of UK fund governance, operations and client services at BNY Mellon Investment Management EMEA and is chief executive officer for the board.
“Being a trusted partner for our investors, providing good outcomes by delivering returns along with a great customer experience.”
Independent Director
Marc, retired from PwC Luxembourg since 2015, has extensive experience in asset management across both the US and Luxembourg.
“The cumulation of many factors that results in an investment solution that meets the needs of an investor, in terms of net performance, risk and quality of service.”
Executive Director
Kira is the consulting managing editor at BNY Mellon, with more than 22 years’ experience writing for professional and retail investors.
“Providing our clients with what they need, when they need it and in a way that is clearly understandable.”
Group Non-Executive Director
Gerald is the head of Investment Management EMEA and oversees the group’s distribution functions.
“Value is the total client experience and financial outcome received in exchange for the total fees paid.”
Executive Director
Caylie, who has worked in financial services for over 16 years, is head of product development & management EMEA for BNY Mellon Investment Management.
“This report is our way of informing you of how we have been meeting the expectations we set. We recognise each investor is unique and may place more importance on one aspect or outcome over another.”
Group Non-Executive Director
Sandeep is the director of governance at BNY Mellon Investment Management with over 20 years’ experience in the financial services industry
“Ensuring the products we provide meet the criteria that you should expect when you invest with us.”
A complex review process using multiple sets of data, across seven criteria analysed on a fund-by-fund basis, the board of BNY Mellon Fund Managers Ltd has honed its methodology since the Assessment of Value was introduced in 2020. Here is a simplified flow chart outlining our process.
Among the internal sources:
Client complaints log
Investment Management Oversight Committee summary
Prospectus for trustee fees
Transaction charges
Audit benchmarking
Financial reports for the funds
Client holding and fee database
Among the external sources and consultants we used were:
Performance: Lipper IM
FITZ Partners Board Reporting & Investment Advisory Fee
Benchmarking Report
MJ Hudson Amaces CMS Fund Accounting Report & CMS Custody and Treasury Report
NatWest Trustee and Depository Services, Custody Benchmarking
Report, Custodian Oversight Pack & Quarterly Report
In this Assessment of Value report, we examined 46 funds with accounting end dates up to and including 30 June 2023.
Our assessment follows the seven-factor criteria outlined by the UK regulator, the Financial Conduct Authority (FCA). We used a variety of internal data to examine the individual funds within each of these areas. This data included that provided by external, independent consultants.
Further details on the seven criteria:
FCA Definition
The performance of the scheme*, after deduction of all payments out of scheme property** as set out in the prospectus. Performance should be considered over an appropriate timescale having regard to the scheme’s investment objectives, policy and strategy.
FCA Definition
In relation to each service, the market rate for any comparable service provided: a) by the Authorised Fund Manager (AFM); or b) to the AFM or on its behalf, including by a person to which any aspect of the scheme’s management has been delegated.
FCA Definition
In relation to each separate charge, the AFM’s charges and those of its associates for comparable services provided to clients, including for institutional mandates of a comparable size and having similar investment objectives and policies.
FCA Definition
In relation to each separate charge, the AFM’s charges and those of its associates for comparable services provided to clients, including for institutional mandates of a comparable size and having similar investment objectives and policies.
FCA Definition
Whether the AFM is able to achieve savings and benefits from economies of scale, relating to the direct and indirect costs of managing the scheme property and taking into account the value of the scheme property and whether it has grown or contracted in size as a result of the sale and redemption of units.
FCA Definition
Whether it is appropriate for unitholders to hold units in classes subject to higher charges than those applying to other classes of the same scheme with substantially similar rights.
1. Scheme is what we would call the fund.
2.Scheme property is what we would call the underlying investment held by the fund.