Halifax Share Dealing - Regular Investments

parker1982

Hi,

Can somebody please explain this:

I have a share dealing account (not an ISA) with Halifax and was looking to start a regular monthly investment into "Vanguard Global Momentum Factor UCITS ETF Shares USD Acc (GBP) | VMOM".
http://www.morningstar.co.uk/uk/etf/snapshot/snapshot.aspx?id=0P00017969

Halifax does have this fund as shown here:
https://www.investments.halifax.co.uk/share-centre/exchange-traded-fund/details/VMOM/IE00BYYR0935/0P00017969.

However, when I try to setup a regular investment by searching for the fund I can't find it. I've posted a list of the funds that come up when I search for "vanguard":

Security Listed on Market
VANGUARD FUNDS PLC CORPORATE BD EUR UCITSGBP LSE
VANGUARD FUNDS PLC CORPORATE BD USD UCITSGBP LSE
VANGUARD FUNDS PLC FTSE 100 ETF INC UCITS ETF LSE
VANGUARD FUNDS PLC FTSE 250 UCITS ETF GBP INC LSE
VANGUARD FUNDS PLC FTSE ALL WORLD HIGH DIV YIE LSE
VANGUARD FUNDS PLC FTSE ALL-WORLD UCITS ETF GB LSE
VANGUARD FUNDS PLC FTSE DEVELOPED EURP ETF GBP LSE
VANGUARD FUNDS PLC FTSE DEVELOPED EURP EX UK LSE
VANGUARD FUNDS PLC FTSE DEVELOPED WLD UCIT ETF LSE
VANGUARD FUNDS PLC FTSE EMERGING MKTS UCITS GB LSE
VANGUARD FUNDS PLC FTSE JAPAN ETF GBP INC NAV LSE
VANGUARD FUNDS PLC GLOBAL LIQUIDITY FACTOR USD LSE
VANGUARD FUNDS PLC GLOBAL MINIMUM VOLATILITY U LSE
VANGUARD FUNDS PLC GLOBAL VALUE FACTOR USDGBP LSE
VANGUARD FUNDS PLC S P 500 UCITS ETF INC GBP LSE
VANGUARD INV SER EMERG MKTS STK IDX ACC NAV FUND
VANGUARD INV SER EMERG MKTS STK IDX INC NAV FUND
VANGUARD INV SER GBL SHT TERM BD IDX HGD ACC FUND
VANGUARD INV SER GBL SHT TERM BD IDX HGD INC FUND
VANGUARD INV SER GBL SMALL CAP INDEX ACC NAV FUND
VANGUARD INV SER GBL SMALL CAP INDEX INC NAV FUND
VANGUARD INV SER GLOBAL BOND IDX HGD GBP ACC FUND
VANGUARD INV SER GLOBAL BOND IDX HGD GBP DIS FUND
VANGUARD INV SER JAPAN STOCK INDEX ACC NAV FUND
VANGUARD INV SER JAPAN STOCK INDEX INC NAV FUND
VANGUARD INV SER PACF EX JPN STK IDX ACC NAV FUND
VANGUARD INV SER PACF EX JPN STK IDX INC NAV FUND
VANGUARD INV SER SRI EUROPEAN STOCK ACC NAV FUND
VANGUARD INV SER SRI GLOBAL STOCK ACC NAV FUND
VANGUARD INV SER SRI GLOBAL STOCK DIS NAV FUND
VANGUARD INV SER UK GILT UCITS ETF LSE
VANGUARD INV SER UK GOVT BD IDX GBP ACC NAV FUND
VANGUARD INV SER UK GOVT BD IDX GBP DIS NAV FUND
VANGUARD INV SER UK INV GRADE BD IDX ACC FUND
VANGUARD INV SER UK INV GRADE BD IDX INC FUND
VANGUARD INV SER UK SHORT TERM INV GRADE BD FUND
VANGUARD INV SER UK SHORT TERM INV GRADE BD FUND
VANGUARD INV SER US FUNDAMENTAL INVESTOR FUND
VANGUARD INV SER US OPPS INVESTOR GBP INC FUND
VANGUARD INV UK LT FTS UK EQ INC IDX A ACC NAV FUND
VANGUARD INV UK LT FTS UK EQ INC IDX A INC NAV FUND
VANGUARD INV UK LT FTSE DEVELOPED EURP EX UK FUND
VANGUARD INV UK LT FTSE DEVELOPED EURP EX UK FUND
VANGUARD INV UK LT FTSE DEVELOPED WLD EX UK EQ FUND
VANGUARD INV UK LT FTSE DEVELOPED WLD EX UK EQ FUND
VANGUARD INV UK LT FTSE UK ALL SHARE IDX UNIT FUND
VANGUARD INV UK LT FTSE UK ALL SHARE IDX UNIT FUND
VANGUARD INV UK LT GLOBAL BALANCED GBP ACC FUND
VANGUARD INV UK LT GLOBAL BALANCED GBP DIS FUND
VANGUARD INV UK LT GLOBAL EMERGING MARKETS GBP FUND
VANGUARD INV UK LT GLOBAL EMERGING MARKETS GBP FUND
VANGUARD INV UK LT GLOBAL EQUITY DIS GBP ACC FUND
VANGUARD INV UK LT GLOBAL EQUITY DIS GBP DIS FUND
VANGUARD INV UK LT GLOBAL EQUITY GBP ACC FUND
VANGUARD INV UK LT GLOBAL EQUITY GBP DIS FUND
VANGUARD INV UK LT LIFESTRATEGY 100 PERC EQTY FUND
VANGUARD INV UK LT LIFESTRATEGY 100 PERC EQTY FUND
VANGUARD INV UK LT LIFESTRATEGY 20 % EQTY A FUND
VANGUARD INV UK LT LIFESTRATEGY 20 PCT EQTY A FUND
VANGUARD INV UK LT LIFESTRATEGY 40 PERC EQUITY FUND
VANGUARD INV UK LT LIFESTRATEGY 40 PERC EQUITY FUND
VANGUARD INV UK LT LIFESTRATEGY 60 PERC EQUITY FUND
VANGUARD INV UK LT LIFESTRATEGY 60 PERC EQUITY FUND
VANGUARD INV UK LT LIFESTRATEGY 80 PERC EQUITY FUND
VANGUARD INV UK LT LIFESTRATEGY 80 PERC EQUITY FUND
VANGUARD INV UK LT UK INFLTION LKD GILT IDX A FUND
VANGUARD INV UK LT UK INFLTN LKD GILT IDX A FUND
VANGUARD INV UK LT UK LONG DUR GILT IDX A GBP FUND
VANGUARD INV UK LT UK LONG DUR GILT IDX AGBP FUND
VANGUARD INV UK LT US EQUITY INDEX A ACC NAV FUND
VANGUARD INV UK LT VANGUARD US EQUITY INDEX FUND
VANGUARD INVS UK FTSE GLOBAL ALL CAP INDEX A FUND
VANGUARD INVS UK FTSE GLOBAL ALL CAP INDEX A FUND
VANGUARD LIFESTRAT TARGET RETIREMENT 2015 A GB FUND
VANGUARD LIFESTRAT TARGET RETIREMENT 2020 GBP FUND
VANGUARD LIFESTRAT TARGET RETIREMENT 2025 GBP FUND
VANGUARD LIFESTRAT TARGET RETIREMENT 2030 GBP FUND
VANGUARD LIFESTRAT TARGET RETIREMENT 2035 GBP FUND
VANGUARD LIFESTRAT TARGET RETIREMENT 2040 GBP FUND
VANGUARD LIFESTRAT TARGET RETIREMENT 2045 GBP FUND
VANGUARD LIFESTRAT TARGET RETIREMENT 2050 GBP FUND
VANGUARD LIFESTRAT TARGET RETIREMENT 2055 GBP FUND

Please can somebody explain why the ETF doesn't come up and also, what is the Company Code field for? At first I thought it was for ISIN code but it isn't.

Thanks

ColdIron

I can't speak for HSD as I don't use them but many platforms only offer a restricted list of popular ETFs (or company shares or investment trusts) for cheap monthly savings plans as it's not economic for them to do otherwise

Asghar

parker1982 wrote: »

Please can somebody explain why the ETF doesn't come up

That's something you'll have to ask the Halifax, only they will know.

dales1

On your link (to the Halifax Share Centre) it does have a red cross against ShareBuilder to signify that it's not available for the cheap monthly plan.

bowlhead99

dales1 wrote: »

On your link (to the Halifax Share Centre) it does have a red cross against ShareBuilder to signify that it's not available for the cheap monthly plan.

The idea of broker and platforms' cheap regular trading plans is that they can pool your orders with other people and just do one large purchase on the stock exchange, allocating the holdings within their nominee account to give you a slice, with a lower dealing fee than would be possible if they had to action your trade in real time just for you.


With a purchase of a 'fund' (oeic or unit trust) they do not go and negotiate anything on a stock exchange at all, they just stick an order in to the manager's subscription system on the fund plaftorm. And with FTSE 350 stocks and selected large investment trusts and ETFs where there can be tens of millions of pounds traded every day, there is scope to combine orders effectively - because with their large customer base, the chances are they will find several people (or tens or even thousands of people) who want to share a big purchase on that dealing day; so you can just pay £2 each and everyone's happy.


However, the ETF you are looking at has the following characteristics:
- it's traded on a stock exchange so they have to negotiate your purchase on a live market rather than simply ordering Vanguard to issue more shares to them.

- it's only $35 million in size and likely the core investors aren't going anywhere so the actual volume traded daily may be pretty small; it's quite possible that Halifax won't find five other customers who want to split a 'regular purchase' on the same day as you to make it efficient to only charge you £2 for their work.


Entry level for the FTSE Small-Cap is about £100m of market cap and FTSE 250 is perhaps £800m. If you want to buy something on a stock exchange which only has a a market cap of £20-30m you are unlikely to find a broker willling to let you do the trade on a specal 'regular trader' rate as the market capitalisation of the financial instrument implies very little interest from other customers (compared to the popular stuff like shares of Lloyds Bank where 100 million shares traded in a day is far from unusual).

parker1982

dales1 wrote: »

On your link (to the Halifax Share Centre) it does have a red cross against ShareBuilder to signify that it's not available for the cheap monthly plan.

I did notice that but I have a share dealing account not a sharebuilder account so knew there was something I was missing.


Bowlhead99, thank you for the detailed explanation. I really do appreciate the replies people such as yourself, Cold Iron and dunstonh give on these forums.