OCF (Ongoing Charges Figure)
What is an OCF?
The OCF (Ongoing Charges Figure) is the yearly fee a fund provider charges for running a fund. It’s shown as a percentage of your investment. An OCF of 0.20% means you pay £2 a year for every £1,000 invested.
What does an OCF pay for?
Management fees, admin, legal costs, and other expenses. The fund provider takes it automatically. You won’t see a bill. Your investment just grows a little less than it would without the fee.
Is an OCF the same as a platform fee?
No. The OCF is what the fund provider charges. Your investment platform (the company that holds your investments) charges its own platform fee on top. You pay both.
What is a good OCF?
For index funds and index-tracking ETFs, anything under 0.20% is typical. Some charge as little as 0.03%.
Actively managed funds usually charge 0.50% to 1.00% because you’re paying someone to pick investments.
OCF vs TER
They’re almost the same thing. TER (Total Expense Ratio) is an older term. OCF replaced it in the UK because it includes a few more costs. If you see either, treat them as the fund’s annual fee.
Scrimpr’s fee calculator shows exactly what you’ll pay. Enter your portfolio size and see the real cost across different platforms.
Calculate Your Fees →Key points about OCF
- Shown as a percentage. 0.20% means £2 per year per £1,000
- Charged by the fund provider. Taken automatically, no bill
- Separate from platform fees. You pay both