Swap to Vanguard platform worth it now?

SeeMe

I now have £20k in my ISA with charles stanley direct, just have the VLS60 and thats all i intend to have. So would it make sense now to transfer this ISA to the vanguard uk platform.

bowlhead99

Is the one time hassle and relatively low cost transfer process of moving platforms, worth it to you for about a 0.1% per year annual ongoing saving (£1 per year per £1000). Maybe it is - if so, move.

The main negative about moving is being locked into one fund managers range of products - but if you believe it's a decent product and all you'll want to invest in for the foreseeable future, you might decide it's worth that 'negative' to save some money on an ongoing basis (and the saving will be getting bigger as the investment gets bigger, assuming CSD don't try to engage in a price war and cut their rates which are already competitive compared to their fund-supermarket rivals.

SeeMe

bowlhead99 wrote: »

Is the one time hassle and relatively low cost transfer process of moving platforms, worth it to you for about a 0.1% per year annual ongoing saving (£1 per year per £1000). Maybe it is - if so, move.

The main negative about moving is being locked into one fund managers range of products - but if you believe it's a decent product and all you'll want to invest in for the foreseeable future, you might decide it's worth that 'negative' to save some money on an ongoing basis (and the saving will be getting bigger as the investment gets bigger, assuming CSD don't try to engage in a price war and cut their rates which are already competitive compared to their fund-supermarket rivals.

Ok thanks for the reply.
I will weigh things up a bit more to make sure i am certain that i will not add another fund in time, and as you point out CSD are competitive so not losing to much for now by not switching.

Clive_Woody

SeeMe wrote: »

Ok thanks for the reply.
I will weigh things up a bit more to make sure i am certain that i will not add another fund in time, and as you point out CSD are competitive so not losing to much for now by not switching.

Every penny counts. I don't see why you shouldn't switch from CSD to Vanguard and save money and if in future you want other investments then look at the cheapest option which may well be at CSD.

As far as I am aware there is no reason why you couldn't maintain your investment at VG and start a new one back at CSD.

I hasten to add I am not an IFA and may be talking nonsense...but it makes sense to me

SeeMe

Clive_Woody wrote: »

Every penny counts. I don't see why you shouldn't switch from CSD to Vanguard and save money and if in future you want other investments then look at the cheapest option which may well be at CSD.

As far as I am aware there is no reason why you couldn't maintain your investment at VG and start a new one back at CSD.

I hasten to add I am not an IFA and may be talking nonsense...but it makes sense to me

Yes thats another good point i will take onboard, i will check what/if there are fees for transfering out.

Anonymous101

SeeMe wrote: »

Yes thats another good point i will take onboard, i will check what/if there are fees for transfering out.

I'd be interested to hear what they are since I'm in a pretty similar boat. :money:

ValiantSon

SeeMe wrote: »

Yes thats another good point i will take onboard, i will check what/if there are fees for transfering out.

Anonymous101 wrote: »

I'd be interested to hear what they are since I'm in a pretty similar boat. :money:

Charles Stanley Direct charge £10 per holding exit fee. Vanguard Investor don't charge exit fees, should you wish to move the fund to a new platform at a later date.

The difference on £20,000 between Charles Stanley and Vanguard is £20, so even with paying the £10 exit fee you would still be better off switching, assuming that for the next year at least, you are not going to want to invest in a non-Vanguard product in your ISA. (You can of course invest with other platforms in non-Vanguard products in a GIA).