S&S ISAs for Noobs
Discussion
Currently I have a couple of Cash ISAs, and as I'm now not going to need the money to be readily available, that's probably not the best place for it. On he assumption that the stock markets are pretty low at the moment, but will likely recover over the next few years I'm guessing now's probably a reasonable time to move one to a S&S ISA and leave it there for several years.
As an added complication I'm not in the UK, my understanding is I can transfer an existing ISA, but can't put new money in to one.
I have a cash ISA with Santander, who have their own investment platform at 0.35% and offer advice for a fee or self management for free. Fidelity look to also be 0.35%, while Vanguard seem to be way cheaper starting at 0.15%.
Do the more expensive ones offer anything better? Vanguard Lifestrategy seems to get mentioned on here a fair bit, and looks to be a simple with limited options for 0.22%. I think I'm probably looking for something where I'll review it once a year rather than be constantly fiddling with it.
As an added complication I'm not in the UK, my understanding is I can transfer an existing ISA, but can't put new money in to one.
I have a cash ISA with Santander, who have their own investment platform at 0.35% and offer advice for a fee or self management for free. Fidelity look to also be 0.35%, while Vanguard seem to be way cheaper starting at 0.15%.
Do the more expensive ones offer anything better? Vanguard Lifestrategy seems to get mentioned on here a fair bit, and looks to be a simple with limited options for 0.22%. I think I'm probably looking for something where I'll review it once a year rather than be constantly fiddling with it.
Short answer, no - Fidelity/Satander won't offer anything more with their standard platform fee, if anything their platform won't be as intuitive as Vanguard's.
However, if you do want advice/guidance then that's a different question all-together... You do mention you ideally want something you can check once per year or so, if that's the case then a Vanguard LifeStrategy fund selected based on your appetite for risk sounds good to me.
Another thing worth mentioning, if you transfer your Cash ISA's in to a S&S ISA, don't lump all of the cash into your selected fund/s at once, instead look to drip feed it over a period of 6-12 months to hedge your bets and avoid buying in at the wrong time.
HTH
However, if you do want advice/guidance then that's a different question all-together... You do mention you ideally want something you can check once per year or so, if that's the case then a Vanguard LifeStrategy fund selected based on your appetite for risk sounds good to me.
Another thing worth mentioning, if you transfer your Cash ISA's in to a S&S ISA, don't lump all of the cash into your selected fund/s at once, instead look to drip feed it over a period of 6-12 months to hedge your bets and avoid buying in at the wrong time.
HTH
RizzoTheRat said:
I have a cash ISA with Santander, who have their own investment platform at 0.35% and offer advice for a fee or self management for free. Fidelity look to also be 0.35%, while Vanguard seem to be way cheaper starting at 0.15%.
Do the more expensive ones offer anything better? Vanguard Lifestrategy seems to get mentioned on here a fair bit, and looks to be a simple with limited options for 0.22%..
There's a massive choice of products on the Fidelity platform including shares, whilst I understand the Vanguard platform only offers Vanguard products. Whether the extra choice is worth 0.2% is up to you.Do the more expensive ones offer anything better? Vanguard Lifestrategy seems to get mentioned on here a fair bit, and looks to be a simple with limited options for 0.22%..
Do vanguard then have a separate charge for individual funds?
I have stuff with Aviva and looking at their S&S ISA options they seem to have a 0.4% charge for using them, and then each fund within it has it's own percentage charge. Is that normal? As I already have a pension with Aviva it seems I'd get a discount on the charge, but then again the ISA funds are presumably the same ones I've got my pension in so maybe better using someone else to spread it around a bit.
Re. Drip feeding, I'm guessing I can't do that on a transfer can I?
I have stuff with Aviva and looking at their S&S ISA options they seem to have a 0.4% charge for using them, and then each fund within it has it's own percentage charge. Is that normal? As I already have a pension with Aviva it seems I'd get a discount on the charge, but then again the ISA funds are presumably the same ones I've got my pension in so maybe better using someone else to spread it around a bit.
Re. Drip feeding, I'm guessing I can't do that on a transfer can I?
RizzoTheRat said:
Do vanguard then have a separate charge for individual funds?
I have stuff with Aviva and looking at their S&S ISA options they seem to have a 0.4% charge for using them, and then each fund within it has it's own percentage charge. Is that normal? As I already have a pension with Aviva it seems I'd get a discount on the charge, but then again the ISA funds are presumably the same ones I've got my pension in so maybe better using someone else to spread it around a bit.
Re. Drip feeding, I'm guessing I can't do that on a transfer can I?
Yes they do: theres a breakdown here:I have stuff with Aviva and looking at their S&S ISA options they seem to have a 0.4% charge for using them, and then each fund within it has it's own percentage charge. Is that normal? As I already have a pension with Aviva it seems I'd get a discount on the charge, but then again the ISA funds are presumably the same ones I've got my pension in so maybe better using someone else to spread it around a bit.
Re. Drip feeding, I'm guessing I can't do that on a transfer can I?
https://www.vanguardinvestor.co.uk/content/documen...
The total charge for the Lifestrategy funds is between 0.39% & 0.45%.
When you transfer your Cash ISA it gets deposited into a cash account within your Vanguard ISA account & you can then invest it as & when you choose.
Looks like you have to be a UK resident to open an account with either Fidelity or Vanguard.
I currently have stuff with Santander, Halifax, Coventry and Aviva so I'm guessing I might have more luck with them unless anyone knows of a firm who will accept transfers from people abroad.
Anyone know anything about Nutmeg? It seems they'll let people open accounts from overseas, 0.75% + 0.19% for the fund seems a bit high though
I currently have stuff with Santander, Halifax, Coventry and Aviva so I'm guessing I might have more luck with them unless anyone knows of a firm who will accept transfers from people abroad.
Anyone know anything about Nutmeg? It seems they'll let people open accounts from overseas, 0.75% + 0.19% for the fund seems a bit high though
Edited by RizzoTheRat on Tuesday 5th May 12:46
Have you looked at Hargreaves and Lansdown?
I opened up a S&S ISA with them recently. Playing with £20k. I have just been dipping in and out of different shares not with all of it into one company. I have made about £700 from buying and selling IAG shares a couple of times over. Might be just luck but i made 7% last month alone on £20k
I opened up a S&S ISA with them recently. Playing with £20k. I have just been dipping in and out of different shares not with all of it into one company. I have made about £700 from buying and selling IAG shares a couple of times over. Might be just luck but i made 7% last month alone on £20k
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