Standard Life to Vanguard fund/sipp?

[Deleted User]

Vanguard is a decent platform for small-ish portfolios. They charge 0.15% per year. The platform seems to have no other costs, which many of the other SIPP account do. Combination of that and VLS charges is still tolerable.  If this becomes inefficient at some point in the future then you always have the option to move out. 

You should google for a website which picks the most cost efficient SIPP platform based on your particular  type of investment and portfolio size. I think there are a couple of websites which can help you. 

HarryM1

dunstonh said:

Agreed.  However, be wary of tied options.  VLS was the best option for low cost multi-asset funds 8-9 years ago.  Other funds could lay claim to that crown today.  By limiting yourself only to Vanguard, where you save on the one hand, could end up costing you more on the other.   History tells us that the best option today will not be the best option in the future.   Using a low cost whole of market solution may well be better.

Yes Vanguard would be limiting in terms of options, although as long as other platforms allow in-specie transfer and carry the VLS 80% fund, I should have the option to shift platforms in the future and then re-adjust if required.

Which platforms were you thinking about as far as low cost/whole market? I'd like to at least inform myself on their policies/options even if it's just with a view to being a exit strategy should I have any reason to leave* Vanguard in the future. Last time I looked into this, Fidelity were a possible alternative although higher fee 0.35% until 250k+ then it's 0.25% which would be less to quibble over, but I'm many years from that discount being viable. Several others that are low fee have charges per trade which wouldn't really suit me currently as I invest once per month with a regular payment.

*That is assuming I do transfer to them one way or the other.

zagfles

Download Snowman's spreadsheet for a comparison of platform charges:

https://forums.moneysavingexpert.com/discussion/5583030/coolly-comparing-investment-platform-charges-snowmans-spreadsheet/p1

Albermarle

Note that in specie transfers tend to take a LOT longer than cash transfers . Although you are not out of the market , the delays can be frustrating . Some cash transfers take as little as 48 hours , although some take longer but you would not be out if the market for the whole transfer period. In any case there is a 50% chance being out of the market could actually benefit you.

[Deleted User]

Albermarle said:

In any case there is a 50% chance being out of the market could actually benefit you.

Markets go up more often than they go down.

HarryM1

What I was thinking was opening a Vanguard SIPP and starting payments monthly into that with the VLS 80% fund. Then it's just a question of deciding on transfer of existing pot from SL. Switching to a SIPP and investing in VLS 80% on SL platform before doing the transfer would reduce the time out of market and also put the entire sell/buy process in my hands, my risk/responsibility.

My only unknown/concern there is how the SL charges might stack up when I will be doing a transfer just after buy is complete. For example, I expect I'd get hit by their monthly fee as part of the purchase for any month I remain with SL but I'm not sure about their yearly admin fee of £262. Would that be applied in full or in part if I had a Level 2 fund for only a short time, say a week, before transferring? I may have to contact SL to query this as whether I sell/transfer as cash then rebuy on Vanguard, or sell/buy then do in-specie depends on what charges I might see for that short duration I have a Level 2 SIPP on SL.

Albermarle

Deleted_User said:

Albermarle said:

In any case there is a 50% chance being out of the market could actually benefit you.

Markets go up more often than they go down.

Yes but if you are only talking about a week at most , and it saves a lot of possible hassle , then......