Recommend me a pension with lower charges

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  • cloud_dog
    cloud_dog Posts: 6,044 Forumite
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    edited 6 July 2017 at 11:24AM
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    binning wrote: »
    Bit confused with th pricing on their site. It says SIP fee of £96 per year but the adds £10 per trade for all investments? Does this include funds?

    If so this would get quite expensive. I pay in to a number of funds monthly. £10 each would add up quite quickly.
    If you are undertaking regular (monthly) investments they offer a RI plan (Portfolio Builder) that charges £1.50 per trade.

    Generally speaking, fixed price platforms tend to charge for all transactions (shares/ETFs/ITs/OIECs), and this is where you need to consider your personal situation, trading patterns etc. If your investments tend to be regular / monthly investments then (as above) the charge will be £1.50 (for II).

    So, for example, you buy in to 4 funds per month, over a year that is a cost of £72. Add that to your platform fee (£96)....£168. Probably still a lot lower than most (all???) percentage based platforms. Using the most recent lowest cost platform, Vanguard 0.15%, on your current pot the cost is £202.50, so still more.

    Before anyone shouts.... I know Vanguard do not currently offer a SIPP but I'm not aware of a SIPP account that charges less than a ISA account so have used this for comparative purposes, i.e. if/when Vanguard introduce a SIPP it will likely have charges that are higher than their current ISA 0.15% offering.
    Personal Responsibility - Sad but True :D

    Sometimes.... I am like a dog with a bone
  • Retired_Minky
    Retired_Minky Posts: 175 Forumite
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    Joey_Soap wrote: »
    Regarding II, for the GBP 20 per quarter platform fee you get 2x GBP 10 trades included, so, in effect 2x "free" trades per quarter. That is usually enough for me. There are different charges for monthly purchases, I do not know what they are, sorry. If any doubt, give them a call, they are usually helpful on the phone.

    Thanks. Looks like ii are the best bet for my fund size.

    I'll check out the site.

    Do I also get to open a free stocks and shares isa as part of the pension or are the charges separate for this?
  • xylophone
    xylophone Posts: 44,418 Forumite
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    http://www.iii.co.uk/sipp


    When you join ii we charge a £20 quarterly fee for the account. Don't worry you'll get the equivalent back each quarter as commission credit. This credit can be used across your SIPP, ISA and trading accounts. Other benefits include:
    A flat SIPP administration fee of just £96pa
    No set-up fees
    Wide investment choice - including UK and international shares, funds, bonds and ETFs
    £10 to trade all investments, or £5 per trade with our frequent trader rate
    Plus with an Interactive Investor account you can add an ISA and Junior ISAs for free
  • Retired_Minky
    Retired_Minky Posts: 175 Forumite
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    I like the look of the Vanguard funds but they don't have a SIPP. What's currently the cheapest way to get these in to a fund in a pension?
  • TheTracker
    TheTracker Posts: 1,223 Forumite
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    You should look to Snowman's Spreadsheet found on the forum for seeing which platform works best for you.

    http://forums.moneysavingexpert.com/showthread.php?t=5583030

    I dare say many of those expensive IFAs use it themselves and charge customers for the pleasure.
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