Vanguard Life Strategy

cs90

This may be a really silly question, but I will ask anyway as I'm a bit confused. I have 2k in Vanguard LifeStrategy 80. Today I logged in and the actual tax value (what I have paid for the units) is now at 2,006.38. Does anyone know where this 6.38 came from? I was under the impression the accumulation fund does not pay/invest dividends and instead is reflected in the price.


I've never invested an odd number like that as I only invest in 100, 200, 500 payments etc.


Any ideas?

bowlhead99

cs90 wrote: »

I was under the impression the accumulation fund does not pay/invest dividends and instead is reflected in the price.

Therefore if your dividends were reinvested in the fund instead of being given to you in your hand, you have a greater 'cost' of investment from a tax perspective. You have funded the cost from £2000 cash and £6 of allocated dividend income.

Alternatively you asked for £2000-worth of units and they charged you about 0.3% one-off dilution levy on top, which you didn't notice at the time. However the dilution levy for this fund is lower than 0.3% these days so it is probably the first answer.

roxy28

bowlhead99 wrote: »

Therefore if your dividends were reinvested in the fund instead of being given to you in your hand, you have a greater 'cost' of investment from a tax perspective. You have funded the cost from £2000 cash and £6 of allocated dividend income.

Alternatively you asked for £2000-worth of units and they charged you about 0.3% one-off dilution levy on top, which you didn't notice at the time. However the dilution levy for this fund is lower than 0.3% these days so it is probably the first answer.

I also have the VLS fund as a newbie, if its inside the ISA why does it mention the tax value?

noclaf

Hi Guys
I hold both a SIPP and S&S ISA with Hargreaves, SIPP has a single fund, VLS 80% acc.
I wish to start drip feeding a fund on the ISA a/c but am hesitant to use VLS or any Vanguard fund based on the v small risk of Vanguard going under one day...leaving both my SIPP and ISA worthless notwithstanding FSA/FCA? guidelines for covering private investors losses

If I remember correctly Hargreaves don't offer the L&G multi index funds so what other cost effective alternatives are there to the vls?

chockydavid1983

I am curious about this point. My understanding was that you weren't actually invested in Vanguard as such but rather the companies that the fund is invested in?

Jsscmm

noclaf wrote: »

If I remember correctly Hargreaves don't offer the L&G multi index funds so what other cost effective alternatives are there to the vls?

Blackrock consensus is another example of this type of fund.

mvarrier

If I remember correctly Hargreaves don't offer the L&G multi index funds so what other cost effective alternatives are there to the vls?[/QUOTE]

http://monevator.com/passive-fund-of-funds-the-rivals/

inspireme247

noclaf wrote: »

If I remember correctly Hargreaves don't offer the L&G multi index funds so what other cost effective alternatives are there to the vls?

http://www.comparefundplatforms.com/

Mynxmox

I recently transferred to AXA only te realise I cannot buy VLS, so I want to transfer again to CSD. I also have money invested with SVS and AJ Bell (SIPP). Should I sell and transfer the cash (of course within the ISA wrapper and not withdraw) or do I transfer shares and then sell and buy? What is best please? Thanks for helping.

mapk

I'm new to investment and aiming for a diversified portfolio with VLS 60 as a core fund. I've just transferred £9000 from a cash ISA to Fidelity's cash park and would like to move ahead with a reasoned strategy. Frankly, I'm overwhelmed by the range of funds and, lacking the knowledge and experience to make an informed choice, am thinking of putting the full amount into VLS 60 immediately. I'm aware that trying to time the market is probably futile and drip-feeding is more sensible; however I don't want to procrastinate, nor do I want to make too many foolish choices as a novice!