Investing more than your ISA (HSBC vs Vanguard)

Hello everyone,
I am not a UK national but am currently working here and should be around for min. 3 more years.
I would like to ask for some advice as I am not particularly familiar with the UK investment landscape.
I have two main questions:

1) For this tax year, I have invested my entire tax-free allowance to various funds in my HSBC ISA. (20k)
Now, I have some more cash sitting in my main account out of which I would like to invest 20k more until the new tax year.
I have opened a Vanguard General account where I have allocated 5k already.
Now, until next April, I am thinking of putting my extra 20k into my Vanguard General account which I know will not be tax-free but as far as I understand, I would be tax-exempt anyways for capital gains up to 12.3k which I will not hit. Would this be reasonable? Would you recommend a significantly better alternative?

2) In terms of HSBC vs Vanguard; HSBC gives me an extra sense of security as that is where my bank account is but Vanguard fees are noticeably lower. What would be your preference between these 2 platforms? And finally, would there be any issue with translating my investment into cash and withdrawing any time I want? (I have read the KIID, prospectus, etc. but I wonder if there sth I miss like you cannot withdraw more than x% at once or you might be paid later etc. ) As I will likely leave the UK in 3ish years, this is particularly important to me.

Thank you very much for reading my post and sharing your insights. It is much appreciated.


  • edited 28 November 2020 at 3:15PM
    AlbermarleAlbermarle Forumite
    8.4K Posts
    1,000 Posts Third Anniversary Name Dropper
    edited 28 November 2020 at 3:15PM
    As Vanguard is not a bank I suppose you could say they would be more secure but personally I wouldn't worry about investing in either of them .
    If you want to buy HSBC or Vanguard funds there is no need to use their platforms for your investments. They are available on all the usual retail investment platforms.
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