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Home Business The cost of Neil Woodford’s failure | Money – The Times
The cost of Neil Woodford’s failure | Money – The Times

The cost of Neil Woodford’s failure | Money – The Times

After we warned of the hidden risks in the stock-picker’s fund, Ali Hussain investigates the scandal that has rocked the investment world

Neil Woodford suspended his flagship fund last weekRICHARD CANNON

The full cost of the “cosy” tie-up between Neil Woodford and Hargreaves Lansdown is laid bare today. Investors encouraged by Hargreaves to plough money into the Woodford Equity Income fund on launch have lost £91 for every £10,000 put in, yet also forked out £455 in fees. Woodford pocketed £240 of that; Hargreaves, which heavily promoted the fund to its clients, creamed off the other £215.

Anyone who put £10,000 into Woodford Equity Income after it was controversially included in a Hargreaves “best-buy” list in January will be nursing losses of £1,214 after just 150 days.

The funds supermarket has raked in an estimated £2.5m of fees on its clients’ investment in Woodford Equity Income since its Wealth 50 list was published on January 9.…

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