Vanguard Financial Advice

Nosmo_King_2

I have just been reading that Vanguard are starting to offer Financial Advice , They will be charging 0.79% pa inclusive of the cost of investment funds and platform fees. I was wondering what anyone thought of this. 

bostonerimus

Why do you need the advice. Keep it simple by doing a bit of reading and buying an appropriate multi-asset fund.

dunstonh

They are charging 0.5% p.a. for advice.   Which is the same fee as most IFAs for ongoing advice.   They are restricting to their own platform and funds and restricting the level of advice they give to focus on the easy stuff.

Where it will be useful is the lower value stuff where there is an advice gap or where advisers have to charge more relative to the investment amount to take it on).

underground99

The 'personal financial planning' offering will allow them to give you advice on what they think would match your needs, among their own products. At the £50k level, which will be their minimum, that's only £250 a year and so an independent adviser with a more comprehensive set of solutions may not be interested in taking you on. So they are filling a gap in the market.  But at £200k at that percentage you are handing over more money and an IFA would be more interested in doing your planning and wouldn't be restricted to Vanguard funds.

Malthusian

Almost nobody on this forum will be interested as they will either DIY or see an IFA (who may charge the same or slightly more for a considerably more comprehensive service).

Rather like Hargreaves Lansdown's adviser service, I think its biggest value for Vanguard investors will be knowing it's there if they want it, not actually using it.