New Investor Advice AJ Bell S&S ISA

Trundley27

Valiantson and Audaxer thank you for your very helpful information, I will have a look at the choices you have given me and I think I may go for Vanguard as you highly recommend it. Multi Assest Vanguard Liife Strategy you have mentioned, is this a progressive investment fund which on average generates decent returns?
Exactly, all i want to do is invest for 10 to 15 years and hopefully have decent growth. Something that is better than my savings. I save each month !!!8216;regular!!!8217; but I just want to invest a small portion into S/S ISA long term starting small and building it up.

I will cancel or sell tomorrow and transferr the ISA. As a general rule what level of risk would you as a beginnner starting out in your mentioned funds?

ValiantSon

It is a tracker fund, like the others mentioned. It tracks several different market indices, so if the market does well the fund does well. There will be periods when the value falls (that is true of all investments), but all historical data suggests that the market recovers and grows. Over the long term, you would expect to see it outperform cash savings. The trick is not to sell your investments when the markets are down. If you do that then you turn a paper loss into a real one. Hold on and they will recover.

Audaxer

Trundley27 wrote: »

Valiantson and Audaxer thank you for your very helpful information, I will have a look at the choices you have given me and I think I may go for Vanguard as you highly recommend it. Multi Assest Vanguard Liife Strategy you have mentioned, is this a progressive investment fund which on average generates decent returns?

A VLS fund is a low cost, well balanced and diversified portfolio of index trackers. Most platforms have the funds which will show you past return percentages etc. so you can judge for yourself what returns have been generated and compare them to other funds. Bear in mind the fund value will fall at times - that is when you need to hold your nerve and don't sell at a loss, just keep investing as you will benefit at these times by buying units at cheaper prices.

Trundley27

Audaxer/Valiantson, I have been looking at the L&G S/S ISA, as you have recommended this platform and I am a customer with L&G. I also like the idea that you can invest a minimum of £50.00 a month this suits me. I have sold the fund with AJ Bell and I am now waiting for the funds to go into the ISA as Cash. I have been looking at the following links:

http://www.legalandgeneral.com/investments/funds/we-do-it-for-you/multi-index-growth/

The above ^^ Link mentions Multi Index, is this the fund you mention and then you select your risk level then L&G do the work etc etc ?

https://www.legalandgeneral.com/investments/funds/track-the-market/
You mention L&G Multi index fund? On the above link, am I in the correct place and the following Funds are the ones you mentioned to invest in as below were you pick your own or best to go for the above were L&G 'Do it for you' then choose risk yourself;
-Global 100 Index Trust
-UK Index Trust
-UK 100 Index

Would the above be sensible options? I could transfer the ISA to L&G.
Sorry for all these questions, i am sure you were in teh ame position starting out, i just want to make the correct decision based on your suggestions.

I will also read the free Literature aswell.


Thank you again

Trundley27

Audaxer/Valiantson, I have been looking at the L&G S/S ISA, as you have recommended this platform and I am a customer with L&G. I also like the idea that you can invest a minimum of £50.00 a month this suits me. I have sold the fund with AJ Bell and I am now waiting for the funds to go into the ISA as Cash. I have been looking at the following links:

http://www.legalandgeneral.com/investments/funds/we-do-it-for-you/multi-index-growth/

The above ^^ Link mentions Multi Index, is this the fund you mention and then you select your risk level then L&G do the work etc etc ?

https://www.legalandgeneral.com/investments/funds/track-the-market/
You mention L&G Multi index fund? On the above link, am I in the correct place and the following Funds are the ones you mentioned to invest in as below were you pick your own or best to go for the above were L&G 'Do it for you' then choose risk yourself;
-Global 100 Index Trust
-UK Index Trust
-UK 100 Index

Would the above be sensible options? I could transfer the ISA to L&G.
Sorry for all these questions, i am sure you were in teh ame position starting out, i just want to make the correct decision based on your suggestions.

I will also read the free Literature aswell.

I have looked into Vanguard and you are correct there charges are lower, much Lower than L&G which is around 0.75% and HSBC can be over 1%.

Thank you again

Audaxer

Trundley27 wrote: »

Audaxer/Valiantson, I have been looking at the L&G S/S ISA, as you have recommended this platform and I am a customer with L&G. I also like the idea that you can invest a minimum of £50.00 a month this suits me. I have sold the fund with AJ Bell and I am now waiting for the funds to go into the ISA as Cash. I have been looking at the following links:

http://www.legalandgeneral.com/investments/funds/we-do-it-for-you/multi-index-growth/

The above ^^ Link mentions Multi Index, is this the fund you mention and then you select your risk level then L&G do the work etc etc ?

https://www.legalandgeneral.com/investments/funds/track-the-market/
You mention L&G Multi index fund? On the above link, am I in the correct place and the following Funds are the ones you mentioned to invest in as below were you pick your own or best to go for the above were L&G 'Do it for you' then choose risk yourself;
-Global 100 Index Trust
-UK Index Trust
-UK 100 Index

Would the above be sensible options? I could transfer the ISA to L&G.
Sorry for all these questions, i am sure you were in teh ame position starting out, i just want to make the correct decision based on your suggestions.

I will also read the free Literature aswell.

I have looked into Vanguard and you are correct there charges are lower, much Lower than L&G which is around 0.75% and HSBC can be over 1%.

Thank you again

The ongoing fund charge for these funds on the L&G platform appears to be 0.76%. There may also be a percentage platform charge as well. You can also buy the L&G Multi Index funds through AJ Bell, and on that platform you will see that the ongoing fund charge is only 0.31%. On AJ Bell there is also a 0.25% platform charge, so even if there is no platform charge on the L&G platform, it seems to be better value to stick with AJ Bell and buy the L&G Multi Index fund there if it is a fund from that range that you decide to go for.

Trundley27

Audaxer. Thanks for this information also. So I could stick with AJ Bell to invest in the L&G Fund. I do like the idea of the Vanguard Life Strategy '80' fund. I have been reading into this.

Could I ask your view on a risk level, I am 30, I want to invest long term circa 10 to 15 years. My thinking is you would start off high risk hence e.g. Vanguard Life Strategy '80' fund and as time goes on you would, start to reduce the risk. etc

MallyGirl

The principle of starting higher risk and then reducing risk later is fine.

What is going to happen at 40/45 that means you need the money? I would have thought, at your age, you would be thinking 20+ years

Either L&G or Life Strategy (or HSBC Global or BlackRock Consensus) would do a decent job of regular buy and hold with no need to faff about with it. If you continue with research then you might change in the future but that is fine.

Trundley27

Mally Girl. Thanks or your reply. I think I will either go over to L&G Multi Index Funds or Vanguard Funds Life Strategy "80" and yeah your right even 20 years would be a sensible option.

As I am paying more into my pension now and saving regular this is another avenue I want to go down. Now that we have been in our house for 4 years (refurbished it) its time to drive savings and investments more forward.


The cheapest Platform is Vanguard by the looks of it and has a good reputation.


How long have you been investing yourselves may I ask anyone?

dunstonh

The cheapest Platform is Vanguard by the looks of it and has a good reputation.

Only because of cost. Not functionality. It does what it is meant to do but it is limited in functionality. if that is all you need, then great (which probably is fine for you at this stage).