Vanguard noobie.. what now?!

ranciduk

Thanks!

ranciduk

ranciduk said:

Thanks very much all



also, how much would you recommend I put in the Available Cash at this stage? Apparently it’s for covering upcoming charges etc?

Any suggestions with this?

ZeroSum

ranciduk said:

ranciduk said:

Thanks very much all



also, how much would you recommend I put in the Available Cash at this stage? Apparently it’s for covering upcoming charges etc?

Any suggestions with this?

You can either set a DD up to automatically take fees from bank account, or just put £1 a month in to start with.

Once you have £10k in it will cost you £15 a year, and they charge you quarterly.

ranciduk

Makes sense

thanks a lot

Billycock

Yes correct you can set up the DD from your profile section on your Vanguard account, I have it set up too, I'm also new to the workings of Vanguard, as I understand it the DD is paid quarterly and Vanguard notify you via email withiin 10 days of any payments due to be taken. I think (I'm not certain) the DD's are for the 0.15% platform charge only and - in the case of LifeStrategy funds -the 0.22% ongoing fee is taken by other means. Available cash in account, selling your stocks etc. 
I'm hoping other forum members can clarify the situation, happy to be corrected 

ranciduk

Great thanks 

it’s good that they email you in advance when it’s due!

Eco_Miser

Billycock said:

 I think (I'm not certain) the DD's are for the 0.15% platform charge only and - in the case of LifeStrategy funds -the 0.22% ongoing fee is taken by other means.

The fund charges are taken from the fund as they arise. You never see them. You don't have to worry about them. The fund manager has to tell you what they are, so you can compare them with other funds and decide if the fund is too expensive.

ranciduk

Eco_Miser said:

Billycock said:

 I think (I'm not certain) the DD's are for the 0.15% platform charge only and - in the case of LifeStrategy funds -the 0.22% ongoing fee is taken by other means.

The fund charges are taken from the fund as they arise. You never see them. You don't have to worry about them. The fund manager has to tell you what they are, so you can compare them with other funds and decide if the fund is too expensive.

Ok

so can you tell me what the Available Cash section is actually for then?

“ You have no cash. You may want to add some to cover upcoming charges.”

Billycock

Eco_Miser said:

Billycock said:

 I think (I'm not certain) the DD's are for the 0.15% platform charge only and - in the case of LifeStrategy funds -the 0.22% ongoing fee is taken by other means.

The fund charges are taken from the fund as they arise. You never see them. You don't have to worry about them. The fund manager has to tell you what they are, so you can compare them with other funds and decide if the fund is too expensive.

Thanks for your input. Good to know 

Billycock

ranciduk said:

Eco_Miser said:

Billycock said:

 I think (I'm not certain) the DD's are for the 0.15% platform charge only and - in the case of LifeStrategy funds -the 0.22% ongoing fee is taken by other means.

The fund charges are taken from the fund as they arise. You never see them. You don't have to worry about them. The fund manager has to tell you what they are, so you can compare them with other funds and decide if the fund is too expensive.

Ok

so can you tell me what the Available Cash section is actually for then?

“ You have no cash. You may want to add some to cover upcoming charges.”

As Eco_Miser points out the fund charges are taken as they arise, that will be your 0.22% of your LifeStrategey ongoing charges, theoretically you can forget about the 0.22% ongoing charges. 
Therefore the available cash section would be for the 0.15% platform charge. Your options are to set up a DD or deposit cash in the available cash section.