Nationwide or HL Investment ISA?

zebra_2

Almost 3 months ago Nationwide BS collared my husband in branch and suggested that we do something cleverer with the 60k we had sitting in cash ISAs.

(Before you ask, we have no debts, not even a mortgage, or expensive spending habits and plans).

We have plans for the other 35k (sortof), so question is what to do with about 25k of the money, Husband spoke to NwBS advisor, I asked advisor why should we go with NBS and not Hargreaves Lansdown; yet I'm still wobbling about what to do. NwBS advisor argued that NwBS put expertise into choosing the best funds and they offer an annual free-at-point-of-use service reviewing the portfolio. Also, their charging regime is not uncompetitive with HL. For instance, NwBS charge zero (he said) to withdraw cash or move assets between different funds.

Once I invest I will mostly want money to just sit and grow and I don't want to think about it until I need it withdrawn; I don't actually mind paying a little something for someone else to keep half an eye on whether it's growing well or not compared to market average/potential. I think that's why I'm minded to go with NwBS, even if they're charges aren't as wafer thin as HL.

Would I be mad to go with Nationwide?

Lokolo

Nationwide have a limited amount of choices. HL have a lot more to offer so can tailor to your needs better.

However. Going with Nationwide you are taking their "advice" which is likely to be extremely limited. With HL you are going DIY (you can choose to use their advisors but they are expensive).

In your situation, I wouldn't be using either of those and instead use an IFA.

gadgetmind

zebra wrote: »

Would I be mad to go with Nationwide?

Yes.

Asking a bank for financial advice is like asking an alligator where there's a safe place to swim.

If you don't have the knowledge, confidence and time to DIY via Hargreaves Lansdown or similar, then you will need to see and IFA.

dunstonh

Going with any bank or building society is mad. nationwide wont provide fund advice. They filter down from a very limited range but put the choice in your hands.

they offer an annual free-at-point-of-use service reviewing the portfolio.

Ask them to put that in writing. Bet the wont as they dont do this.

or instance, NwBS charge zero (he said) to withdraw cash or move assets between different funds.

Its harder to find one that does charge nowadays. A few left but they are in the minority.

Once I invest I will mostly want money to just sit and grow and I don't want to think about it until I need it withdrawn;

That means you want to compromise your investments. unless.....

I don't actually mind paying a little something for someone else to keep half an eye on whether it's growing well or not compared to market average/potential. I think that's why I'm minded to go with NwBS, even if they're charges aren't as wafer thin as HL.

NWBS dont do that. As much as they will pretend they will to get the money. They do not offer a portfolio review and rebalancing service. They are transactional. HL's wont do it as you use them to DIY. So, the logical option if that is what you want is to use an IFA.

zebra_2

That's weird that you guys keep saying IFA, I've been to see a few, and it was always very very clear that they only offered a limited range of products, too!! Both IFAs you pay for or those who offer "Free advice". I wonder if the whole market is too diverse for them to get a complete grasp on, too.

It's like going to a travel agent & thinking you're getting the full range of flight prices on offer, or that they somehow offer special deals; I find you have to contact at least 6 different travel agents to even start getting a range of options. And then you ring the airlines direct and get an even different offer (much better or much worse than everyone else). Then you search online for a few hours to finally find a deal you can live with (and maybe go back to the niest travel agent who agrees to price match).

So IFA definitely out & never any help ime.
But I appreciate the perspectives on what NBS really offers.

Ho hum, maybe I'll just flip a coin. Or throw some darts.

jem16

zebra wrote: »

That's weird that you guys keep saying IFA, I've been to see a few, and it was always very very clear that they only offered a limited range of products, too!!

Are you sure you saw an IFA? What do you mean by "limited products"?

Vortigern

gadgetmind wrote: »

Asking a bank for financial advice is like asking an alligator where there's a safe place to swim

Made me smile. Perhaps it should be in your sig.

gadgetmind

Vortigern wrote: »

Made me smile. Perhaps it should be in your sig.

I must confess that it's not original, well not the 2nd half of the sentence anyway.

Maybe it should be dunstonh's signature?

dunstonh

That's weird that you guys keep saying IFA, I've been to see a few, and it was always very very clear that they only offered a limited range of products, too!

FAs have a limited range of products. IFAs are whole of market. It sounds like you have seen FAs and not IFAs.

Last time I looked at the research software figures, it had something like 50,000 odd investment options. Hardly limited.