Understanding administration fees and the wrap fee calculator

The following table shows the administration fees that apply to cash balances for each product.

*You can find the current administration fee in the relevant product offer document or subsequent event notice.
**You can find the current wrap Cash Hub administration fee in the relevant super investment menu. 

1. The administration fee is applicable for super and investment accounts and is charged by the trustee/operator on the balance of your holdings in your wrap account, which may include the Cash Account/Hub. It's deducted monthly from the cash account and can be seen in statements and online in the transaction listing.
2. The wrap Cash Hub administration fee or cash administration fee is charged by the trustee of the Macquarie Superannuation Plan on the balance of members' Cash Accounts/Cash Hubs and deducted from interest before it’s credited to member's account. As the fee is deducted from interest before it's credited to members, a transaction listing won't be visible for this fee.

Some cash accounts may have additional fees that apply to cash balances. These are disclosed in the relevant offer document and the investment menu available online.

The wrap fee calculator is a tool that supports you and your business when recommending Macquarie Wrap to a client. It's been specifically designed to help you easily assess the suitability of Macquarie’s wrap products and to help you determine what products best meet your client’s needs.

The wrap fee calculator enables you to:

• calculate indicative pricing for wrap fees, which includes platform administration fees, sub-custody fees, as well as investment costs/fees and advice fees
• compare fees for a (new or existing) single account across the product suite
• compare fees for a single account or for account group pricing (including fee aggregation)
• calculate an indicative quote for grouped pricing on accounts that are currently not grouped.

To access the wrap fee calculator:

1. Log in to Adviser Online
2. From the menu, select Tools
3. Then Fee calculator.

When you've opened the wrap fee calculator, complete the following:

Add accounts

The ‘add accounts’ section allows you to select the client accounts you'd like to include in the fee calculation. Any accounts added or removed in this step will automatically update in any subsequent steps of the calculator. You can select up to eight existing accounts and/or input a prospective new investment, pension or super account. All accounts you select or enter will be treated as part of a single group for fee calculation purposes.

1. Select the dealer code
2. Select existing accounts or enter new accounts
3. Click Next

Portfolio details

The ‘portfolio details’ section allows you to manage the investment holdings associated with each of the accounts you’ve selected or entered. For existing accounts, the existing holdings will populate automatically, but you can still edit these or add new ones. For new accounts, you’ll need to search for and select the holdings you want to include and enter an amount for the holding. You can bulk edit holdings or you can amend them individually.  

Edit individually:

1. Expand the account
2. Select Add holding
3. Search for and select the holding
4. Enter the amount
5. Click Confirm.

Repeat these steps until you’ve added all holdings you want associated with the account.

Bulk edit:

1. Select Edit portfolio
2. Edit the holdings
3. Click Save
4. Click Next

Advice fees

In the ‘advice fees’ section, you can set the advice fees for the accounts you’ve selected. You can apply the same fee across the same type of accounts or you can apply individual fees for each account.

Apply the same fee to all accounts or groups of accounts:

1. Expand the first account
2. Select the fee structure and complete the amounts and/or percentages:
   • Tiered fee only
   • Tiered and flat dollar fee
   • Flat percentage fee only
   • Flat percentage and dollar fee only
   • Flat dollar fee only
   • No advice fee
3. Select what group of accounts you would like to apply the fee structure to:
   • Apply this fee structure to all accounts,
   • Apply this fee structure to all investment accounts, or
   • Apply this fee structure to all super/pension accounts
4. Click Next

Apply fees to accounts individually:

1. For each account, select the fee structure and complete the amounts and/or percentages:
   • Tiered fee only
   • Tiered and flat dollar fee
   • Flat percentage fee only
   • Flat percentage and dollar fee only
   • Flat dollar fee only
   • No advice fee
2. Click Next

Results

The ‘fee breakdown’ section provides a summary of the wrap fees that apply across each product for your selected account(s). The products are presented as separate tabs and the default tab is Overview. The engaged product may appear as ‘not applicable’ if the selected holdings aren't available on its investment menu.

To view the fee breakdown for the products:

1. Select the tab for the applicable product
2. Select Print to print the details

The results table in the wrap fee calculator provides a comparison of the indicative wrap fees inclusive of any GST, and net of any applicable Reduced Input Tax Credit for your selected account(s).

All entered accounts are treated as belonging to a single group. Fee aggregation is applied across the nominated accounts for the Macquarie Consolidator II Elevate investment menu option.

If you’re using the calculator to determine wrap fees for a group of accounts, note:

1. The ‘overview’ tab will show you a summary of wrap fees across each available product, assuming all accounts are grouped under a single group.
2. These wrap fees comprise administration fees, access fees and sub-custody fees.
   
   

Once you’ve selected a product name from the tabs above, a breakdown of the fees across each asset and account will be generated. In addition, an estimate of the investment costs/fees and advice fees for the accounts will be shown, based on your input.

The Wrap fee calculator doesn’t provide estimates for non-SMA brokerage, SMA brokerage or other incidental fees such as transaction fees.
Cash earnings estimates are not provided as part of the output.

Fee aggregation is a feature of Macquarie Consolidator II – Elevate accounts. It enables grouped accounts to be treated as one for funds under administration (FUA) purposes. This means that eligible accounts can reach the lower administration fee tiers faster. 

Only clients with Macquarie Consolidator II – Elevate investment menu option accounts can benefit from fee aggregation when grouped. . If you want to group for fee aggregation and reporting purposes, you can do this in Adviser Online.

Grouped Macquarie Consolidator II – Engage investment menu option accounts don’t receive discounted fees when grouped.