MSE News: Financial advice shake-up: what will you pay?

grey_gym_sock

but, to summarize ...

i think is realistic to buy your own shares with about £40k, but it's about the minimum realistic amount.

and that only covers UK shares. to get some overseas diversification, you're better off using funds (or investment trusts) unless you have a lot more than £40k.

gadgetmind

grey_gym_sock wrote: »

you could buy a UK tracker fund for a bit less than that, and you'd also get a lot more diversification from the tracker.

We do hold some UK trackers but I actually prefer the sector diversification of our directly held equities!

BTW, I agree on £40k being a sensible minimum and twice that ideally.

Deputy_Dawg

Preceeding discussion all a bit high brow for me. I am just glad that this was flagged as it had completely passed me by. I have often questioned what stops advisers just selling the product that makes them the most and I trust the guy I go to, but I had totally missed this imminent change

dunstonh

Deputy_Dawg wrote: »

Preceeding discussion all a bit high brow for me. I am just glad that this was flagged as it had completely passed me by. I have often questioned what stops advisers just selling the product that makes them the most and I trust the guy I go to, but I had totally missed this imminent change

In reality, this just formalises what has been taking place for years and gives an opt out for those that dont want it and ensures the slackers that didnt move over are forced to.

gadgetmind

Deputy_Dawg wrote: »

I have often questioned what stops advisers just selling the product that makes them the most

In the past, not much, hence the changes.

Investing really really doesn't need to cost 3% to 5% up front and then 1.5% to 2.5% pa in fees and I really hope those days are now well and truly behind us.