Buying Funds

5ingh

Just opened a Hargreaves Lansdown ISA (Aberdeen Emerging Markets). It is monthly subscription, but i think i can pay lump sums into it? If i payed in £1000 today and i wanted to buy units, is the price always yesterdays fix? For example, if it showed the fund was down 5p yesterday, is this the price i buy at? Always seems to show yesterdays price and not todays, i know the markets are closed, but even when they are open it is a day behind.
Another question, i opened the ISA and told them i wanted Aberdeen Emerging Markets, can i then buy units in JPM Natural Resources or do i have to stick to Aberdeen Emerging Markets?
Thanks

Linton

The price of funds cannot be calculated until the next day. So you would normally place an order to buy £nK's worth of funds; you would not know the precise number of units bought until after the event.

Once you have opended an ISA account you can buy and sell whatever funds you like provided they are allowed in ISAs (most are).

sabretoothtigger

I think you can buy multiple funds if you have the money left over

i wanted to buy units, is the price always yesterdays fix

The price to buy is always set after you request. So a buy now would use monday afternoons price, which you cannot know yet but it would reflect mostly what happened friday I think and also the sterling exchange rates at the time.

If uk exchange rate rises alot, its moved 1% in a day recently then you may find foreign fund prices are cheaper then expected

^^ This is why alot of people stick to FTSE trackers but if you consider how useless our bank of England are and the ridiculous low rates its fairly clear the 'currency risk' of strong sterling is a fallacy

5ingh

Thanks for the reply guys, cleared up a few points :T