Fund Distributor comparison

slinga

I'm currently with Fidelity but believe H & L to be better/cheaper.

I want to compare the charges for Fidelity, H & L and Chelsea but am finding it difficult to sort out the charges on these three sites.

Can anyone help?

Thanks, in hope.

slinga

Anyone?????????

Lokolo

Fidelity and HL are more or less the same. No idea about Chelsea.

Unfortanately I don't know of a comparison site for this sort of thing.

slinga

Thanks for that.

Which is easier to use H & L or Fidelity.

Fidelity seems to require confirmation of a fund switch by post,
But to me it looks like a fund switch at H & L can be done online only.

Is this correct?

I also understood from some posts on here, which I now can't find, that H & L is 0.5% cheaper pa because it doesn't charge a 'management fee' or some such.
Is that correct?

[Deleted User]

Hi,

the initial charge on any fund is the same wherever you buy it, though some discount brokers discount this charge, eg, if you buy through HL:


Initial charge 5.25% Initial saving 5.00% Annual charge 1.50% Annual saving 0.250% ²


so initial charge would be only 0.25%, and you would get a loyalty bonus of 0.25% on value of fund each year, figures vary with different funds, as do discounts with different brokers.

I think the only way to compare brokers is to slog through it and find your fund and plod through each site.

Switching funds with HL is easy online.

slinga

Thanks for that info.
I thought there might be an easy answer but perhaps not.
I think I'll transfer my funds to H & L because switching is so much easier online.

There isn't a transfer charge is there???

An online fund distributor which my wife uses in another country has just introduced an annual 'platform charge' of 0.5% which has thrown the whole investor population there into furor.
I suppose that that 0.5% 'platform charge' is similar in concept to the annual charge of 1.5% you mention in the UK.

Initial purchase charges bring in cash for the distributor but without an annual charge/platform charge then continual income to the fund distributor will dry up.

Lokolo

[Deleted User] wrote:

Hi,

the initial charge on any fund is the same wherever you buy it, though some discount brokers discount this charge, eg, if you buy through HL:


Initial charge 5.25% Initial saving 5.00% Annual charge 1.50% Annual saving 0.250% ²


so initial charge would be only 0.25%, and you would get a loyalty bonus of 0.25% on value of fund each year, figures vary with different funds, as do discounts with different brokers.

I think the only way to compare brokers is to slog through it and find your fund and plod through each site.

Switching funds with HL is easy online.

I believe Fidelity are as cheap as HL.

Jake'sGran

I am a client of both companies. It is only HL who give a tiny proportion of the annual
commission they get from the fund operator back to the you in their Vantage system.

The amount quoted above i.e. .5% seems high to me. I will have a look at my account with HL to check this. The Share Centre also rebate the full initial charge on many funds as does Chelsea. You really need to read the web pagesof these companies to get an accurate picture. Fidelity do have an initial charge on some of their funds.

Jake'sGran

A fund I bought last year had an initial charge of 4% which was all rebated. The annual charge is 1.5% and there is an annual saving on this of .15%
On a Perpetual deal the initial charge was 5%, the annual charge 1.5% of which you get .25%.

Also, I recently transferred a Jupiter ISA to them and always believed that Jupiter charged £75 for this but HL say they don't do this now. If it had still been in force
HL would have paid it.

slinga

Lokolo wrote: »

I believe Fidelity are as cheap as HL.

I've done my comparison between Fidelity and H & L and H & L are, for my funds anyway, easily the cheapest.
I've started adding a Chelsea comparison but it's harder to get the figures from the CFS site.
Will report back next week.