Help please with investing directly into a Vanguard fund.

TUVOK

I wish to invest into the Vanguard fund which tracks the S&P 500, correct me please if I am wrong but understand that this would be the Vanguard US Equity Index Fund (Acc).
If I am correct, could any one inform me what the minimum investment is please? Despite looking at the prospectus etc, I am still unsure.
Thanks for any/all replies.

Linton

Fund minimum purchase values given in data sheets only apply when you buy directly from the manager. If you buy from a platform, there is no practical minimum. Vanguard themselves are a fund manager who also run a platform restricted to their own funds.

TheShape

Looks like the minimum investment is £100,000

https://www.trustnet.com/factsheetpdf?url=https:%2F%2Fdocumentscdn.financialexpress.net%2FLiterature%2F40D2CB806CFA0351CBD1374B28C988C1%2F104675080.pdf&Citicode=fpd3&Universe=O

Select provider's own Factsheet from Literature and Download section.

It will be best to look at the fund information on a platform where you intend to hold the fund as they will have their own minimum holding/investment information. The prospectus/factsheet tends to tell you the minimum holding for approaching Vanguard directly.

For example, if you look at the Fund page at Hargreaves Lansdown you can see the minimum investment figures in the other nformation section:

https://www.hl.co.uk/funds/fund-discounts,-prices--and--factsheets/search-results/v/vanguard-us-equity-index-accumulation

dunstonh

I wish to invest into the Vanguard fund which tracks the S&P 500, correct me please if I am wrong but understand that this would be the Vanguard US Equity Index Fund (Acc).

No. That fund tracks the total market. Not the 500.

If I am correct, could any one inform me what the minimum investment is please?

With many platforms, it will be £100 to £1000 if single premium or £50-£100pm if regular.

This fund is designed to held in a portfolio of other single sector funds. Not by itself. It would be bad quality investing to invest solely in this fund (or an S&P500 tracker).

In this cycle, the US has outperformed the global markets. In the previous cycle, the US underperformed global markets. Every period there is usually one that clearly outperforms the rest and another than clearly underperforms. It is rare for the same one to be top in multiple periods. So, if you are picking the US because of recent past performance, you should review your research.

thickasabrick

It depends on the platform that you are using to purchase and hold your investment.

If you have a Vanguard ISA then you can have a minumum £100 per month in a direct debit or minimum £500 one off purchase.

S&P 500 UCITS ETF (VUSA)
https://www.vanguardinvestor.co.uk/investments/vanguard-s-and-p-500-ucits-etf/cost-minimums

Your monthly direct debit will build up in cash until there is enough to purchase at least a single unit. VUSA has a Market value (GBP) £42.18 today so your minimum £100 per month will purchase 2 units.

This is not the same as the "fund" which is the accumulation type that you have mentioned .

U.S. Equity Index Fund - Accumulation
https://www.vanguardinvestor.co.uk/investments/vanguard-us-equity-index-fund-accumulation-shares/cost-minimums

TUVOK wrote: »

I wish to invest into the Vanguard fund which tracks the S&P 500, correct me please if I am wrong but understand that this would be the Vanguard US Equity Index Fund (Acc).
If I am correct, could any one inform me what the minimum investment is please? Despite looking at the prospectus etc, I am still unsure.
Thanks for any/all replies.

bostonerimus

If you want to track the S&P 500 buy Vanguard S&P 500 ETF (VUSA). Here are the minimums

https://www.vanguardinvestor.co.uk/investments/vanguard-s-and-p-500-ucits-etf/cost-minimums?intcmpgn=equityusa_sp500ucitsetf_fund_link

Just go over to https://www.vanguard.co.uk, open the account you want and buy it...it really couldn't be much easier.

TUVOK

My thanks for the very helpful and informative replies.
I am looking towards investing in Vanguard directly as I wish to reduce my HL fees, even if the reduction is small.
I have already dispensed with HL's paper service and I am now looking if Vanguard funds can be the substitute for some of my holdings.
I received my HL quarterly report today, and then rechecked the fee's I have paid, steep is the word I would use!
I have no problem at all with the service that HL give, but although I am wary of changing to another platform due to various problems which I have read on forums, I have read of no problems with Vanguard.

fred990

Done several funds with them and as above they won't do less than £100k per fund to open. After that more or less what you like (min £500 I think?)

TUVOK

I'm a bit puzzled by your post as "bostonerimus" has just sent a link, which gives a £500-00 minimum investment in the fund which tracks the S&P 500 EFT "VUSA"
I was able to open a VGLS 80 yesterday and that fund could be opened with £500-00

bowlhead99

TUVOK wrote: »

I'm a bit puzzled by your post as "bostonerimus" has just sent a link, which gives a £500-00 minimum investment in the fund which tracks the S&P 500 EFT "VUSA"
I was able to open a VGLS 80 yesterday and that fund could be opened with £500-00

Before Vanguard had their current 'direct to customer' offering, they would let you invest with them (rather than using a third party intermediary platform as the distribution channel), but only if you had the sort of money to invest the sort of money the institutions would think of as minimal. So £100k was the threshold. Not the sort of thing that would need them to have a big customer service function geared up to handling £100pm regular investing plans, ISA transfers and having to explain to retail customers what an investment is.

So, that's probably when Fred made this investments.

The new Vanguard Investor service *is* pitched at retail customers and allows the smaller minimums.

[Deleted User]

Hello TUVOK,
I can confirm the smaller amounts are sufficient to operate within Vanguard funds, on the Vanguard platform.
Any mention of £100k plus requirements are totally wrong in your situation.
Follow the advice and info provided earlier by bostonerimus.
Regards,
mrwmartin