Wealthify etc verdict

thickasabrick · 4 July 2019 at 11:48AM

As part of a goal to educate my (adult) children and myself about finances I started a S&S ISA with Vanguard last year and encouraged each of them to setup one too. Started with the minimum £100 monthly contribution.

Have gone with a global tracker, FTSE All-World High Dividend Yield UCITS ETF (VHYL) as I already have a large holding of Vanguard LifeStrategy in my pension (SIPP).

Reasoning can be found on a few articles from Monevator, The Escape Artist with special mention of Lars Kroijer Investing Demystified.

It's been quite interesting as Vanguard allows you to link accounts so we can see the performance of each others accounts. I had purchased additional units in the summer whilst their accounts have trickled along purchasing approx 2 units each month with the £100. For a while I was actually negative compared to theirs. So far the personal return on my S&S ISA is 10.96% with the their returns sitting at 13.40%, 13.42% and 12.13%.

Plan is to review on the anniversary of each account and apply what they have learned about the process over the last year.

If starting with small investment sums then find a provider that minimises the fees and transaction costs. Monevator has a table of providers with information that should help you make a suitable choice.

As for fund choice, a low cost global tracker to start. Availability depending on your chosen platform. There are some quite knowledgable people posting on this forum, who, if asked nicely, might be able to list some funds that would allow you to make a first choice to get started.

southantrim3 wrote: »

Apologies if this has been asked before.
I'm new to investing and thinking of dipping my toes in to a s&s ISA at around £100 per month.

Have thought of either going down the wealthify/nutmeg etc route or vanguard etc...

What route should I choose and why?

All help/advice greatly appreciated.

Thanks