Vanguard LifeStrategy funds

jackisla

Can I invest in these using another platform or are they exclusive to Vanguard?


Reason I ask is the minimum monthly deposit is £100 per month and i'm looking to pay £50 per month into 2 seperate funds.


Thanks.

Alexland

VLS is available on many platforms including Cavendish who charge 0.25% platform fee with no fund trade fees. Sightly higher than the Vanguard Investor 0.15% platform fee.

jackisla

So Cavendish fees are actually cheaper overall then?

Alexland

jackisla wrote: »

So Cavendish fees are actually cheaper overall then?

No Cavendish are 0.10% higher than Vanguard Investor who also have no fund trade fees.

Out of interest what's wrong with investing £100 per month in just VLS via Vanguard Investor?

bowlhead99

jackisla wrote: »

So Cavendish fees are actually cheaper overall then?

Basically you can use Cavendish at 0.25% or Vanguard at 0.15% to provide you with the fund platform / account admin service. And then you will also be exposed to the running costs of the fund itself, eg ongoing charges figure of 0.22% for Lifestrategy which will be the same wherever you hold it.

In that scenario the reason to pay more to choose Cavendish would be if you wanted to access a wider range of products in the same account (i.e. funds managed by people other than Vanguard).

If you want to put half your money into one vanguard fund and half in another, you don't need to do 2x £50 investments each month; you could easily do 1x £100 investment into one fund for a few months and then start doing 1 X £100 investment into a different fund instead, and change from time to time. Presuming you're doing it for the long term and don't mind logging in to charge your settings a couple of times a year.

But really at £100 a month there is no point overcomplicating it with multiple funds, given that the VLS product is already a fund which holds 10 other funds in different investment areas.