Fund/ Investment Fees and Options
Discussion
Lets say I have £115K invested with a leading UK investment platform. Mainly in Stocks & Shares ISA but also a small amount in bonds etc. Is £900 ish fees for 6months about what I should be paying?
Is there anything I can do to reduce it, short of buying £100k worth of blue chips and relying on dividend payments.
Thanks
Nick
Is there anything I can do to reduce it, short of buying £100k worth of blue chips and relying on dividend payments.
Thanks
Nick
Fees are a huge issue. As are the hidden dealing costs.
The reality is that funds deal on fixed tickets so have almost no dealing costs but will typically wrap anything up to 2-3% comm into the client side.
Bearing in mind they are supposed to be viable off the admin fees its a real piss take.
1.5%+ is big. But sadly not the worst by a long way and easily quite normal.
This is also charged on your gross typically.
The real problem facing the industry is that with all the costs of regulation etc it really isn't worth handling portfolios under £1m these days and even then you can't really do much with them other than generic allocations.
It's a f
ker to be frank and ever tightening regs supposedly aimed at protecting the smaller invested are doing the exact opposite and pushing the out and into the clutches of criminals.
I would however consider alternatives as 1.5% is a lot considering they catagorically will not be doing anything other thn following a generic model derived from your KYC profile regardless of the patter they say.
The reality is that funds deal on fixed tickets so have almost no dealing costs but will typically wrap anything up to 2-3% comm into the client side.
Bearing in mind they are supposed to be viable off the admin fees its a real piss take.
1.5%+ is big. But sadly not the worst by a long way and easily quite normal.
This is also charged on your gross typically.
The real problem facing the industry is that with all the costs of regulation etc it really isn't worth handling portfolios under £1m these days and even then you can't really do much with them other than generic allocations.
It's a f
ker to be frank and ever tightening regs supposedly aimed at protecting the smaller invested are doing the exact opposite and pushing the out and into the clutches of criminals. I would however consider alternatives as 1.5% is a lot considering they catagorically will not be doing anything other thn following a generic model derived from your KYC profile regardless of the patter they say.
Try and beat the Vanguard FTSE100 tracker at 0.1%
https://www.vanguard.co.uk/uk/mvc/investments/etf
You are 1.4% ahead of your current crowd before even looking at hidden charges as Mr Donkey rightfully adds.
There are others around that level.
https://www.vanguard.co.uk/uk/mvc/investments/etf
You are 1.4% ahead of your current crowd before even looking at hidden charges as Mr Donkey rightfully adds.
There are others around that level.
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