NATWEST Stocks & Shares ISA - good investment?

ileven1225

rathernot wrote: »

Note the correction above on the IWEB setup fee.

Trust me on this, do your homework as hours spent now exploring options can have a massive impact on your future investment value.

Vanguard make some great products but let's say that once you've done all your homework you decide you want to put £18k into Vanguard but be a little more adventurous and put £2k into Fundsmith or Scottish Mortgage Trust.

You can't do that if you're using the Vanguard platform directly but you could with other platforms.

For me it's a cake and eat it to use someone with the widest choice but make sure the fees make sense for your model of investing - depending how often and what you're buying one model may make more sense than another.

£25 one off payment, and £5 per trade is very reasonable! I would expect often trades as I probably select and invest a 4 funds (so £5x4=£20) and wait for another 3-4 months to check. I would wait for a year to see the outcome.

I will definitely consider IWEB as it provides flexibility to select different funds in one tax year! I would put about £20k into IWEB firstly before April and do my homework afterwards to carefully select funds. Selection would not in rush but i need to put the money into ISA before April!

Thanks!:beer:

IanManc

ileven1225 wrote: »

Does it mean, if i put £20k into IWEB, then i can select Natwest, Vanguard, HSBC, etc funds flexibly? Am I correct?

Yes, you're correct.

IWEB give access to hundreds of fund houses, all of which have many funds.

Fund providers you might want to check out for passive index funds, or multi-asset funds, are Vanguard, HSBC, Fidelity, and Legal and General, though there are others.

You can split your £20k between as many funds as you like, but you'll pay a £5 fee for each deal, so if you pick too many your costs will start to rack up.

This website http://monevator.com/category/investing/ is worth a look to help you learn about investing.

ileven1225

IanManc wrote: »

Yes, you're correct.

IWEB give access to hundreds of fund houses, all of which have many funds.

Fund providers you might want to check out for passive index funds, or multi-asset funds, are Vanguard, HSBC, Fidelity, and Legal and General, though there are others.

You can split your £20k between as many funds as you like, but you'll pay a £5 fee for each deal, so if you pick too many your costs will start to rack up.

This website http://monevator.com/category/investing/ is worth a look to help you learn about investing.

Thnaks a lot!

Alexland

IWeb don't have the L&G MI series. Also for regular contributions worth considering Halifax SD.

rathernot

Ditto Lindsell Train just for what it may be worth.

ValiantSon

Splitting £20,000 between several different funds is likely to be a poor strategy. Doing so will increase your costs without giving you better returns. £20,000 is a relatively small investment sum and you would be well-advised to keep it in a single multi-asset fund for the time being. Only when that sum has grown significantly, are you likely to benefit from investing in a wider range of funds (i.e. £50,000 if you are of a nervous disposition and worry about the FSCS protection limit, or more realistically closer to £100,000).

ileven1225

ValiantSon wrote: »

Splitting £20,000 between several different funds is likely to be a poor strategy. Doing so will increase your costs without giving you better returns. £20,000 is a relatively small investment sum and you would be well-advised to keep it in a single multi-asset fund for the time being. Only when that sum has grown significantly, are you likely to benefit from investing in a wider range of funds (i.e. £50,000 if you are of a nervous disposition and worry about the FSCS protection limit, or more realistically closer to £100,000).

If I use IWEB, £5 per trade, doesn't sound an expensive cost?

Alexland

ileven1225 wrote: »

If I use IWEB, £5 per trade, doesn't sound an expensive cost?

For 12 regular ISA investments a year iWeb is £60 and the parent Halifax Share Dealing is £36.50 (£12.50 per year and £2 per regular trade). Ok it will cost £12.50 (£7.50 more) for the initial lump sum investment as adhoc trades are more expensive but you avoid the £25 setup fee.

ileven1225

Alexland wrote: »

For 12 regular ISA investments a year iWeb is £60 and the parent Halifax Share Dealing is £36.50 (£12.50 per year and £2 per regular trade). Ok it will cost £12.50 (£7.50 more) for the initial lump sum investment as adhoc trades are more expensive but you avoid the £25 setup fee.

Can Halifax have the same flexibility as IWEB? I can potentially invest NATwest, HSBC, Vanguard etc?

Alexland

ileven1225 wrote: »

Can Halifax have the same flexibility as IWEB? I can potentially invest NATwest, HSBC, Vanguard etc?

Halifax own IWeb so the investment options are the same. Vanguard, HSBC, Blackrock, etc. Just make sure you select their Share Dealing ISA not their retail Investment ISA.

https://www.halifax.co.uk/sharedealing/our-accounts/stocks-and-shares-isa/

Natwest are not a market fund manager so you will not be able to buy their products on DIY platforms and frankly there wouldn't be any demand for them at those fees. It's not where an informed investor would want their money.

Alex.