Cheapest Way to Buy Vanguard All-World UCITS VWRP ETF?

MoneyMan01

My plan is to transfer ~£30k into a S&S ISA and put that into Vanguard All-World UCITS VWRP ETF.

If I understand it correctly, the VWRP option would mean any dividends are automatically reinvested back in.

My plan would to then look at putting ~£1,000 into the S&S ISA and purchasing more Vanguard All-World UCITS VWRP ETF once a month, at least until I potentially learn more and find a way in which I could potentially build a similar portfolio to what that ETF does, to lower the 0.22% on-going charge.

With that in mind, I then checked to see where I could get my money in the cheapest, I see Freetrade do have it, but to put that into a S&S ISA, they charge a £3 per month fee for the ISA. I could open a GIA for free, but depending on how much it goes up, could work out not being suitable due to tax.

I'm not sure if Trading 212 has the Vanguard All-World UCITS VWRP ETF, as I can't check due to them not allowing new accounts at the moment.

Now I have set out that I want to purchase Vanguard All-World UCITS VWRP ETF and the initial lump sum amount, with the amounts I plan to invest each month, what is the cheapest platform for me to get my money into for a S&S ISA based on how I will be funding it?

I did look at other platforms that charge a fee vs. one off charges, but there are so many fee's that I am really not sure.

Can anyone confirm how I get this going for the lowest possible cost? 

MX5huggy

I don’t know if it’s the cheapest way but from Vanguard themselves? ISA account fee is 0.15% per year so £4.50 per year on the £3000.

https://www.vanguardinvestor.co.uk/what-we-offer/fees-explained

MX5huggy

Sorry £30k so £45 per year.

Alexland

Rather than spending 0.22% on VWRP have you considered the HSBC FTSE All World Acc fund at 0.13% which would save 0.09% to spend on platform costs? On the initial £30k that would save £27 pa which would pay for about half the annual costs of Lloyds at £40 pa and £18 for 12x fund trades each year. I haven't checked the HSBC fund is on Lloyds but it's on iWeb and they are both Halifax Share Dealing.
Ok it's initially about the same cost as a Freetrade ISA but then as the account gets bigger the savings will be greater until at £65k the difference in fund management charges would completely cover the fixed platform charge.
As a soft bonus you would be with an established and financially viable platform and be investing in a fund that has some FSCS protection (unlike an ETF).

MoneyMan01

Does the HSBC FTSE All World Acc include emerging markets?

If so, I am looking for a definitive answer.

What is the cheapest platform to have a S&S ISA and £30k lump sum with monthly investments thereafter of HSBC FTSE All World Acc? What would the annual costs in a % of this be?

What is the cheapest platform to have a S&S ISA and £30k lump sum with monly investments thereafter of Vanguard All-World UCITS VWRP ETF? What would the annual costs in a % of this be?

A_T

Trading212 ISA will cost nothing to hold VWRP and nothing in trading fees if you deposit the 30K by bank transfer

MoneyMan01

Trading 212 aren't allowing new accounts so I am looking for an answer to my questions above, not including T212.

Alexland

TheDarkKnight93 said:

Does the HSBC FTSE All World Acc include emerging markets?

Yes it's All World not just World so includes EM.

What is the cheapest platofmr to have a S&S ISA and £30k lump sum with monly investments thereafter of Vanguard All-World UCITS VWRP ETF? What would the annual costs in a % of this be?

Lloyds is probably best with the HSBC fund (check they have this fund but it's on iWeb so should be fine as they are both HSD) for £58 pa like I said above. Equivalent to a platform fee of 0.19% on £30k reducing to 0.09% when you get to £65k like I said above.
T212 and Freetrade don't support funds so you would end up paying more for an ETF like VWRP if they have it.
I guess you could go with HSD directly for £54 pa but it would force you to use their scheduled buying as adhoc trades are really expensive.

Albermarle

For  an ETF , Fidelity have a maximum platform charge of £45.
To buy the ETF initially would cost £10 and then £1.50 for regular monthly payments .

ErinGoBrath

MX5huggy said:

I don’t know if it’s the cheapest way but from Vanguard themselves? ISA account fee is 0.15% per year so £4.50 per year on the £3000.

https://www.vanguardinvestor.co.uk/what-we-offer/fees-explained

VWRP is not available on the Vanguard platform, but VWRL is.

🤷‍♂️

Alexland

ErinGoBrath said:

VWRP is not available on the Vanguard platform, but VWRL is.

But then if you were using the Vanguard platform and paying around 0.2% in fund management costs their Global All Cap is probably a better choice...