Share dealing platforms - totally confused

A_T

ValiantSon wrote: »

Perhaps you you would care to post a model portfolio that is better than one of those funds I listed, and the resulting management costs (and an any initial costs too).

60% HSBC FTSE All World Index fund (charge 0.16%)
40% Vanguard Global Bond Index fund (charge 0.15%)

cheaper than VLS 60

Hope this helps

A_T

ValiantSon wrote: »

You go right ahead and do that, but you will find that most sensible people would advise sticking to a single multi-asset fund for such a low sum. There are a range of multi-asset funds available so you have choice about the investment mix. Furthermore, most investors with small sums are fairly new to investing and haven't the experience or knowledge to create a wide and diverse investment portfolio of their own, and the economies of scale make it much harder for them to do so, and generate any meaningful return.

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Ah so now it's about the inexperience and lack of knowledge of small investors. Make up your mind is it about costs or not?

ValiantSon

A_T wrote: »

60% HSBC FTSE All World Index fund (charge 0.16%)
40% Vanguard Global Bond Index fund (charge 0.15%)

cheaper than VLS 60

Hope this helps

Wow! That is nowhere near as diversified as a decent multi-asset fund!

ValiantSon

A_T wrote: »

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Ah so now it's about the inexperience and lack of knowledge of small investors. Make up your mind is it about costs or not?

I have been entirely consistent. Developing points is not changing your mind, but rather elucidating. Cost is a major issue. Your inability to follow what I have written is your problem, not mine.

Your own model portfolio is poorly constructed if it is supposed to be a widely diversified investment strategy. Thank God you aren't doing this for a living.

A_T

ValiantSon wrote: »

I have been entirely consistent. Developing points is not changing your mind, but rather elucidating. Cost is a major issue. Your inability to follow what I have written is your problem, not mine.

Your own model portfolio is poorly constructed if it is supposed to be a widely diversified investment strategy. Thank God you aren't doing this for a living.

Sorry but you're talking rubbish. The portfolio I suggested is every bit as diversified as VLS60 - and it's cheaper too.

Lungboy

A_T wrote: »

60% HSBC FTSE All World Index fund (charge 0.16%)
40% Vanguard Global Bond Index fund (charge 0.15%)

cheaper than VLS 60

Hope this helps

VLS60 is 0.22% OCF.

ValiantSon

A_T wrote: »

Sorry but you're talking rubbish. The portfolio I suggested is every bit as diversified as VLS60 - and it's cheaper too.

No I'm not and no it isn't. Aren't you a rude and aggressive individual!

Just for starters, the HSBC fund is 88% large cap and 12% mid cap, whereas VLS 60 is 80% large cap, 15% mid cap and 5% small cap. VLS has broader diversification by market capitalisation. It also has more diversified bond holdings.

I also listed other alternatives, which you have ignored. HSBC Global Strategy Balanced has the same market cap diversity as VLS, and also has property and commodities in the portfolio, offering further diversification.

Cathcoo

It's true though that you do have to be careful, especially considering all the fees for this and that being charged by the dealing platforms. If I do join Hargreaves or AJ Bell and then have problems with them, I'd have to spend a whacking great £25 per holding to transfer out. That tells me that the likes of HL are not interested in financial 'minnows' like me.

Superscrooge

Fidelity don't charge any exit fees.

You need to do the maths to work out whether for the amount you want to invest, it is best to go for a fixed fee provider who charges extra for dealing, transfers etc. or a percentage fee where there are no extra charges.

Cathcoo

Thanks guys, I don't have to be too anal about diversifying as the vast majority of my inheritance is elsewhere and this would just be a chance to put a small proportion of it into shares etc as well as give me some experience. I thought it might be fun. Oh dear.