first time investing via financial advisor

darkpool

I have a similar sum in the market. I mostly buy shares in FTSE350 companies. I personally don't believe collective investments like unit trusts/ bonds are worth the annual fees. On a 160k investment you'll pay circa 3k a year in fees - I pay under a hundred in annual fees

Have a look at the companies that unit trusts invest in. They are mostly invested in FTSE350 companies. I just don't see the point in paying someone do something you can do yourself.

dunstonh

On a 160k investment you'll pay circa 3k a year in fees - I pay under a hundred in annual fees

That is because you are doing your own work. I assume that includes utilising your annual CGT allowance, bed&ISA where applicable, rebalancing the investments etc. Like any DIY, it can be cheaper. However, if you choose not to DIY then you are paying someone to do it for you. Nothing wrong with that

I just don't see the point in paying someone do something you can do yourself.

That assumes you have the time and knowledge to do it. Everyone pays people to do different things, whilst other things they may DIY.

balf

Take a little advice frome someone who has been managing his investments for 40 odd years without the "help" of a FA ; read and understand finacial matters, it aint rocket science, if it looks too good to be true, well you know the rest, accept that you are not trying to double your money every or any year, the tortoise beat the rabbit after all. If you want to gamble there are outlets on every high street.

I've made mistakes over the years and lost some cash along with the profits, but I havn't paid some b....r to do it for me. The costs mentioned by the OP are horrendous - don't do it friend, don't do it.

David.

jimjames

balf wrote: »

I've made mistakes over the years and lost some cash along with the profits, but I havn't paid some b....r to do it for me. The costs mentioned by the OP are horrendous - don't do it friend, don't do it.

David.

I completely agree. After being ripped off by an adviser many years ago this is one area where it really pays to take control of your own affairs. Unlike some DIY jobs like it is fairly straightforward to do your own research especially with the internet and websites such as this. Paying someone the sums of money mentioned for managing ISAs or other investments which is something most people are perfectly capable will immediately hit your investment returns as you need to grow by that amount just to stand still.

Totton

It is rather amusing to read the squabbles over IFA qualifications when posters refer to comments made by an MP whose role requires no formal qualifications whatsoever. The only apparent qualification for an MP is one of deceit and use of a trough :-) Going back to the original post, I think those charges are way too high, in your shoes I would be finding myself someone more interested in my financial well-being. Call 2 or 3 others and ask for a free consultation, meet the advisor and trust your senses. Don't believe everything you read here about IFA's, there are some every good ones who look after you well.

HTH,
Mickey

missile

blewitt wrote: »

.....Adding all this up, we would appear to be paying over £7,500 for the first year, and after that £3,500 per year - whether our funds have increased in value or not..

IMHO, he is a spiv in a suit :rotfl:

A_nice_fellow

IFAs are, in the main, cretins.

But frankly their clients deserve them. They could teach themselves as much as what the IFA knows (of any use) in a couple of days. If they're too lazy to do that, then let the IFA steal their money as far as I'm concerned.

dunstonh

IFAs are, in the main, cretins.

As are anyone that thinks that.

They could teach themselves as much as what the IFA knows (of any use) in a couple of days.

Keep on kidding yourself that if you want to.

Here's a quick question for you. Any IFA will be able to answer it without looking it up. Can you?

A 50% taxpayer, has £300,000 of shares showing a gain of £150,000. He also owns an offshore assurance bond, with a 100 segments, valued at £300,000, showing a £100,000 gain. He wants to gift £150,000 to his daughter, with the smallest tax liability for himself. He has already used his Capital Gains Tax allowance. How best is this done and with what tax liability?

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To be honest, the negativity in this forum in recent weeks has been quite distasteful and pathetic at times.

Lokolo

A_nice_fellow wrote: »

IFAs are, in the main, cretins.

But frankly their clients deserve them. They could teach themselves as much as what the IFA knows (of any use) in a couple of days. If they're too lazy to do that, then let the IFA steal their money as far as I'm concerned.

The basics, yeh sure, its easy to buy and sell funds through a discount broker... but then again not everything is black and white.

They offer a service, people choose to use that service. If you think thats stealing then quite frankly you need to go back to school and learn the meaning of stealing

A_nice_fellow

dunstonh wrote: »

As are anyone that thinks that.



Keep on kidding yourself that if you want to.

Here's a quick question for you. Any IFA will be able to answer it without looking it up. Can you?

A 50% taxpayer, has £300,000 of shares showing a gain of £150,000. He also owns an offshore assurance bond, with a 100 segments, valued at £300,000, showing a £100,000 gain. He wants to gift £150,000 to his daughter, with the smallest tax liability for himself. He has already used his Capital Gains Tax allowance. How best is this done and with what tax liability?

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To be honest, the negativity in this forum in recent weeks has been quite distasteful and pathetic at times.

You're completely missing my point by asking if I can do it "without looking it up"