FTSE All Share ETF

happyhappydays

I was looking to buy an ETF to track the FTSE All Share index but have found the AMC of 0.4% on both the Lyxor and Ishare product to be significantly above the AMC on the Fidelity tracker (AMC 0.1%). I'm surprised by this as I thought an ETF would be lower cost. Can anyone tell me if there's a good reason to use an ETF to track the FTSE index as I would have thought just go for the product with the lowest AMC? Thanks.

Reaper

Which Fidelity tracker? The only FTSE100 one that came up when I just tried a search on their web site was the F&C one which has a 1% charge:
http://www.fidelity.co.uk/cgi-bin/direct/iframe/iframeparent.cgi?sid=0575627

happyhappydays

It's the Fidelity Moneybuilder UK Index fund which I'm looking to buy via my Alliance Trust ISA.

a7man

Compare the TERs not just the AMCs, this will show the total cost of investing via each method, not sure what either of them are.

GucciMane

Easier to sell an ETF i'd say. Not worth fighting over 0.3 of a % only a few points here or there!

turbobob

The advantage of an ETF is that it's exchange traded. In other words they can be bought and sold instantly on the stockmarket like a share. OEIC's or unit trusts are priced daily and if you sell your holding you will not know the exact price until after it's happened . If you don't think that advantage of the ETF is going to be of any benefit to you (say if you just want to buy and hold for many years) then I'd pick the cheapest.