cavendish online charges (fidelity)

Holmesy999

i went a stocks isa through canvedish, which for all in tense and purposes is fidelity.
three issues / questions:

(1) I have invested in Fidelity Index World Fund P-Acc with my majority amount (£18k as we speak., although steadily rising:rotfl:) amongst a few other funds (vanguard ftse income ((a punt on divdend income for £2k)) and a vanguard 60 for about £2k). Nice results. very nice.
However, when I look at my transaction history, I see there fees for an "adviser ongoing fee sell" and a "service fee:sell" - minor amounts and only in the Fidelity index world fund. (These aren't listed in my other two funds). Is this the way cavendish / fidelity get their advertised fee of 0.25% for my total pot? or have I picked a bad fidelity index world fund with high fees? (I'm sure i picked this one as it had low fees..)

(2) I used to have a 4th fund (a mistake of an active fund:eek:) - when I sold it, fidelity gave me the message that it has to be sold sold, and the money can't be contained within my ISA and had to be transferred to my bank account, thus I assume saying by bye to the isa protection of that amount. Is this normal for all cavendish / fidelity that you can't sell fund and keep within the isa limit for the year if you wish to reinvest?

(3) I think I am approaching the limit of a % charging fund and switching to a flat fee fund (I have £24k in cavendish / fidelity). So do I do a isa transfer keeping my existing holdings to a flat fee isa, and then sell them into a stock listed tracker (ie will a flat fee isa let me sell and keep the isa status of the money and then buy again) or should I be dropping the funds before the isa transfer? this step is confusing me a bit

thanks for your advice!!:money:

jimjames

1. Fee is normally 0.2% Fidelity, 0.05% Cavendish I believe

2. No, that's not correct. You must have requested to remove money. You can leave money in cash park

3. I don't understand the question. Do you mean platform? iWeb might be cheaper if you don't do many transactions, really depends on your usage

greenglide

Fidelity (and I assume Cavendish) take their fees from the fund with the highest balance at the month end. They calculate each fund according to the rate for the fund and then bill together.

AlanP_2

greenglide wrote: »

Fidelity (and I assume Cavendish) take their fees from the fund with the highest balance at the month end. They calculate each fund according to the rate for the fund and then bill together.

I have SIPP with Fidelity via Cavendish and that is how I am charged.

bugbyte_2

Re 3: When does a flat fee become cheaper?

On www.comparefundplatforms.com iweb is indeed considerably cheaper for £25,000 than Cav (£98 vs £1137 over 10 years) However, as iweb has a £5 fund purchase fee and a £5 fund switch fee, a monthly saver would wipe out any benefit, especially if you rebalance occasionally or like me swap funds completely!

In this case, £200pm plus 2 fund swaps py makes Cav the cheapest over 10 years @ £1,584 with iweb @ £2,105

Holmesy999

Thanks for the advice / clarification above.

I can't recall exactly, but I'm sure when I sold it said it had to go into your bank account and it indicated it wouldn't cash park, but maybe I missed an option.

Will have to do more research about the break even point about flat fee vs percentage fee. of course it is much easier to stick my head in the sand and not switch- no complaints about my current set up thus far

Vortigern

Holmesy999 wrote: »

I can't recall exactly, but I'm sure when I sold it said it had to go into your bank account and it indicated it wouldn't cash park

You should have chosen to SWITCH your investment to Cash Park, rather than SELL. Easy mistake to make.

Sue58

Is it cheaper to stay with Fidelity if you have total investments with them in excess of £250K because they then only charge 0.2% which is less than Cavendish?

StellaN

Sue58 wrote: »

Is it cheaper to stay with Fidelity if you have total investments with them in excess of £250K because they then only charge 0.2% which is less than Cavendish?

Are you sure its only 0.2% because I always thought Fidelity charged 0.35% and Cavendish 0.25%?

Vortigern

Sue58 wrote: »

Is it cheaper to stay with Fidelity if you have total investments with them in excess of £250K because they then only charge 0.2% which is less than Cavendish?

With £250k you should avoid any broker charging a percentage fee. You should look for a flat fee platform.

Sue58

Vortigern wrote: »

With £250k you should avoid any broker charging a percentage fee. You should look for a flat fee platform.

Have you any suggestions for flat fee platforms?

Also, the £250K would be a mixture of SIPP, S&S ISA's and Unit Trusts funds waiting to be transferred to S&S Isa's at a later date if that makes a difference. With Fidelity it's total investments within their platform.