Virgin stocks and share isa

edited 30 November -1 at 1:00AM in ISAs & Tax-free Savings
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AberdeenkidAberdeenkid Forumite
13 Posts
edited 30 November -1 at 1:00AM in ISAs & Tax-free Savings
I'm looking to open a stocks and shares isa. Saving £50 a month long term, around 10 years. I want the stocks and shares selected for me.

I'm looking at Virgin just now and wonder if anyone has used them or got any advice. They charge 1%, not sure if this is a lot of if it is around the norm? I have my pension with them so they why I'm looking at them.

Any advice greatly appreciated.

Replies

  • edited 26 February 2018 at 12:08AM
    AlexlandAlexland Forumite
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    edited 26 February 2018 at 12:08AM
    Virgin are expensive for nothing special.

    For a contribution of £50 per month look at Cavendish who charge a platform fee of 0.25% and you can invest in multi asset funds such as Vanguard LifeStrategy, Blackrock Consensus or HSBC Global Strategy which have ongoing charges of around 0.2% with the exact fee depending on the fund manager and risk/reward profile you pick.

    Still your platform plus fund fees will be under half of the Virgin cost for a similar investment performance.

    Or if you are OK to pay a high fee then at least go for something with a history of outperforming the market (even after fees) such as Orbis Access which offer very simple ISAs invested in their Global Equity (high risk) or Balanced (medium risk) funds.

    Alex
  • edited 26 February 2018 at 8:01PM
    ValiantSonValiantSon
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    edited 26 February 2018 at 8:01PM
    Virgin are expensive and their choice of funds are poor.

    A 1% charge might not sound much, but you can get a better diversified fund for less than 0.5%.

    I suggest looking at the following range of multi-asset funds as a good starting point. You can read about all of them on https://www.trustnet.com/ (select the ones labelled "IA Unit Trusts & OEICS"):

    Vanguard LifeStrategy
    HSBC Global Strategy
    Blackrock Consensus

    All of these cost less than 0.5% if bought through the best platform:

    Vanguard LifeStrategy (20, 40, 60, 80, 100) on Vanguard Investor = 0.37% (0.15% platform fee + 0.22% OCF)

    HSBC Global Strategy (Cautious, Conservative, Balanced, Dynamic, Aggressive) on Cavendish Online = 0.42% - 0.46% (0.25% platform fee + 0.17% - 0.21% OCF)

    Blackrock Consensus (35, 60, 85, 100) on Cavendish Online = 0.47% - 0.48% (0.25% platform fee + 0.22% - 0.23% OCF)

    EDIT: Alex beat me to it, but you can see that we were both thinking along the same lines!
  • AlexlandAlexland Forumite
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    You must be my twin brother!

    I didn't suggest Vanguard Investor as the minimum for a regular contribution is £100 per month.
  • ValiantSonValiantSon
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    Alexland wrote: »
    You must be my twin brother!

    :) Snap!

    Great minds? ;)

    Yes, Vanguard Investor does have that drawback. I should have said to the OP that they could always save up for a year in a regular saver so that they would have the funds for an initial £500 deposit, after which they could make monthly deposits of £50 if they wished.
  • dunstonhdunstonh Forumite
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    Lets go for triplets... ;)

    Virgin is expensive and poor quality. Their ISA and pensions are aimed at people buying the brand but not buying quality.
    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.
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