Best Platform For Vanguard Life Strategy 60/80

bigadaj

BananaRepublic wrote: »

The dividends and hence the tax on such a (by many standards) large sum could be not insignificant. As I understand it the £1,000 per year savings interest allowance does NOT cover dividends. However, if your income is modest, then you would not be taxed.

But when you come to sell, you will have to pay capital gains tax, which could be very significant in 10 years time. Yes you can sell a lump each year to keep the gains below the threshold but that limits access to the money. So an ISA route would probably be the preferred one.

I have experience with You Invest and Fidelity and believe that they are sound institutions. And in any case they merely act as an intermediary.

No dividends get their own £5k annual allowance from the next tax year so should be sufficient, initially at least, for the OP.

aajax42

https://forums.moneysavingexpert.com/discussion/5438685
Hi mickeywaffle,I have been asking that very same question on this forum.

bigfreddiel

Too answer your question, and everyone eases comments on why you are going down the Lifesatrategy route, I asked Selftrade directly, this is their answer:

"You will only be charged the Inactivity Fee for the quarters that you don't trade.

There is also no dealing charge to trading Funds."

Cheers fj