Hargreaves lansdown

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Hi
i have around 160K in funds and shares i hold in a vantage account with hargreaves lansdown. what are the views of people on here of using HL ? The fees im paying seem to be a lot, are there better cost effective platforms for holding these? i do get a lot of information from HL but is it worth it ?
thanks
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  • dunstonh
    dunstonh Posts: 116,637 Forumite
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    The fees im paying seem to be a lot, are there better cost effective platforms for holding these?

    You mention two things there but seem to to treat them as one. "better" and "cost effective".

    HL are not cheap. However, there are not many better in the DIY world. So, do you want better or cheap?
    i do get a lot of information from HL but is it worth it ?

    No. its not worth it as its just marketing. They do send a lot out.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • Drp8713
    Drp8713 Posts: 902 Forumite
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    Im happy with HL. Their service is worth paying for in my opinion.

    You shouldnt be paying a lot in fees with HL with £160k invested.

    They have caps on fees, £45 p.a for ISAs, £200 p.a for SIPPs and £0 for Share Account.

    Just make sure you only hold Investment Trusts, ETFs or Shares, not open ended funds. Then your max fees would be £245 p.a or around 0.15% platform fee.
  • george4064
    george4064 Posts: 2,817 Forumite
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    Drp8713 wrote: »
    Im happy with HL. Their service is worth paying for in my opinion.

    You shouldnt be paying a lot in fees with HL with £160k invested.

    They have caps on fees, £45 p.a for ISAs, £200 p.a for SIPPs and £0 for Share Account.

    Just make sure you only hold Investment Trusts, ETFs or Shares, not open ended funds. Then your max fees would be £245 p.a or around 0.15% platform fee.

    For funds within HL ISA, there is no cap.
    "If you aren’t willing to own a stock for ten years, don’t even think about owning it for ten minutes” Warren Buffett

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  • jimjames
    jimjames Posts: 17,676 Forumite
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    Drp8713 wrote: »
    Im happy with HL. Their service is worth paying for in my opinion.

    You shouldnt be paying a lot in fees with HL with £160k invested.

    They have caps on fees, £45 p.a for ISAs, £200 p.a for SIPPs and £0 for Share Account.

    Just make sure you only hold Investment Trusts, ETFs or Shares, not open ended funds. Then your max fees would be £245 p.a or around 0.15% platform fee.
    Not sure why you'd think HL don't charge a lot.

    0.45% on up to £250k sounds high to me when others are much less and for OP could be £720 pa Their website is one of the best though so it depends if you're happy to pay for that.
    Remember the saying: if it looks too good to be true it almost certainly is.
  • masonic
    masonic Posts: 23,497 Forumite
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    jimjames wrote: »
    Their website is one of the best though so it depends if you're happy to pay for that.
    It's worth mentioning that it isn't necessary to continue paying in order to retain full access to the research and tools on the HL website. I've retained access ever since leaving HL over 2 years ago.
  • Drp8713
    Drp8713 Posts: 902 Forumite
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    jimjames wrote: »
    Not sure why you'd think HL don't charge a lot.

    0.45% on up to £250k sounds high to me when others are much less and for OP could be £720 pa Their website is one of the best though so it depends if you're happy to pay for that.

    They do if you hold open ended funds, thats why I said in my post:

    Just make sure you only hold Investment Trusts, ETFs or Shares, not open ended funds. Then your max fees would be £245 p.a or around 0.15% platform fee.
  • masonic
    masonic Posts: 23,497 Forumite
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    Drp8713 wrote: »
    Just make sure you only hold Investment Trusts, ETFs or Shares, not open ended funds. Then your max fees would be £245 p.a or around 0.15% platform fee.
    Well, your max fees would be £245 plus dealing charges, which you would not pay for open ended funds. Your max overall costs will be £245 plus dealing charges plus stamp duty (ITs/shares) plus spread, none of which would tend to apply to OEICs.

    Depending on the size of portfolio and investing style, that could be better or worse than an equivalent open ended fund based portfolio. We are of course only assuming which types of account the OP is using under Vantage, but if utilising ISA, SIPP and F&S account, with say 8 funds in each, annual rebalancing alone could add over £250 to the overall annual costs.
  • jimjames
    jimjames Posts: 17,676 Forumite
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    Drp8713 wrote: »
    They do if you hold open ended funds, thats why I said in my post:
    Not much help for the OP who said they hold funds. Even so HL is still quite expensive.

    Obviously the amount will depend on the split between shares and funds but if a company charge 0.25% that's a massive amount less per year. Or even a company like iweb that charge a one off flat fee, £200 vs £720 PA is a great saving.
    Remember the saying: if it looks too good to be true it almost certainly is.
  • redux
    redux Posts: 22,976 Forumite
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    edited 21 February 2016 at 4:04PM
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    Actually, for shares and investment trusts only, and outside an ISA, it looks good value.

    Dividend re-investment at 1%, min £1 max £10, and that's all, no annual fee.

    If I do nothing else, the 4 investment trusts I have there will cost me just over £3 a year.

    So for someone indecisive about moving away from HL, I'd say consider a split, moving funds away but leaving investment trusts and other shares there for now.

    I also have an account at iWeb, opened months ago before the fee went up but only just actually started investing, where dividend re-investment costs 2% pro rata, but apparently no flat minimum fee. No annual fee there either.
  • Glen_Clark
    Glen_Clark Posts: 4,397 Forumite
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    I don't know what HL would charge for holding my shares, investment trusts and ETFs, but it can't be less than x-o who charge nothing.
    “It is difficult to get a man to understand something, when his salary depends on his not understanding it.” --Upton Sinclair
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