Vanguard General Investment Account Question

thriftylynny

Hope someone on here may be able to explain (layman's terms please!!) as to why my Vanguard GIA & ISA are showing different rates of return on my account when they are both invested in the same VLS 60 fund ? At present they are showing a personal rate of return as +1.2 % (ISA) & yet - 0.74% (GIA) am i missing something here as i was expecting the same performance rate on both as it's invested in the same fund ? I opened the GIA only a month ago & i've held the ISA for 4 months not sure if that makes a difference ? I'm a bit confused to say the least especially as the major part of my investment is held within the GIA ? Would appreciate some advice please !

eskbanker

thriftylynny said:

I opened the GIA only a month ago & i've held the ISA for 4 months not sure if that makes a difference ?

Yes, that will explain it, unless the fund happened to have exactly the same value in April as January!

I believe that Vanguard uses an annualised figure for the return anyway, but even if it was absolute return then you'd expect different rates of return over different periods.

Aceace

Since you invested into the two accounts at different times you will have bought in an at different prices, so the returns will be different. 

Swipe

Also the fees will be taken from the GIA for both accounts unless otherwise specified which will affect performance