Interactive Investor are they any good, beginning to have doubts

granta

ex-pat_scot said:

Alexland said:

ex-pat_scot said:

My circumstances are simple - £350k ish of VWRL ETF.
Costs are £20 per month.

I do similar with more in VEVE ETF but on Fidelity it's only £3.75 per month plus £1.50 for quarterly divi reinvestment.

They would offer you £500 transfer cashback to pay their fees for the next decade or longer with tax relief.

https://www.fidelity.co.uk/pension-transfer/?intcmp=hero1_sipp_cashback-offer_nov_2021#cashback-offer

That sounds a peachy offer. 
However I note the quoted SIPP fee is 0.2%, which would work out at about £720 pa. 
I can't see how the £3.75 per month fee arises.

£45 flat fee if you only hold ETFs

ex-pat_scot

granta said:

ex-pat_scot said:

Alexland said:

ex-pat_scot said:

My circumstances are simple - £350k ish of VWRL ETF.
Costs are £20 per month.

I do similar with more in VEVE ETF but on Fidelity it's only £3.75 per month plus £1.50 for quarterly divi reinvestment.

They would offer you £500 transfer cashback to pay their fees for the next decade or longer with tax relief.

https://www.fidelity.co.uk/pension-transfer/?intcmp=hero1_sipp_cashback-offer_nov_2021#cashback-offer

That sounds a peachy offer. 
However I note the quoted SIPP fee is 0.2%, which would work out at about £720 pa. 
I can't see how the £3.75 per month fee arises.

£45 flat fee if you only hold ETFs

Ah! Deep in the key features separate document.
I'm still trying to work out if  I can transfer in specie, in case I get stung on bid/offer spread when transferring out of VWRL into cash. I'd be surprised if Fidelity didn't offer it, but want to ensure I dont get stung with excessive transfer fees.

Alexland

michaels said:

What are the pros/cons of ETF vs holding an investment fund for SIPPs?  Are there differences in protection etc?  I am invested in a world index tracker fund and pay 240 a year in II (and fund fees of about 12 basis points) but could I do the same more cheaply via an ETF elsewhere (and snag a switching bonus)?

Well you don't get any FSCS protection on the ETF although with the account valuations we were talking about £85k doesn't make much difference but still we have stopped transferring lump sums across to our SIPPs and have in recent years just been letting the money build up in our workplace pensions which since moving to a master trust gives me access to a developed world tracker at 0.19% so only around 0.05% more expensive than a large amount of VEVE (also 0.12%) on Fidelity (around 0.01% when capped). Obviousy there are trade fees on Fidelity for exchange traded investments where on II you might use trade credits. If you are in a big liquid ETF then you shouldn't see much market spread even when trading large six digit values and of course with traditional funds you often get a similar dilution levy etc.

cloud_dog said:

Don't Fidelity charges apply to the person, across all accounts held with them?

Albermarle said:

Correct .

I thought the exchange traded cap was per account but I might be wrong as we only have SIPPs and free JISAs not adult ISAs but if it is per person then I don't see how they would apportion the capped £3.75 fee between multiple accounts?

granta

ex-pat_scot said:

granta said:

ex-pat_scot said:

Alexland said:

ex-pat_scot said:

My circumstances are simple - £350k ish of VWRL ETF.
Costs are £20 per month.

I do similar with more in VEVE ETF but on Fidelity it's only £3.75 per month plus £1.50 for quarterly divi reinvestment.

They would offer you £500 transfer cashback to pay their fees for the next decade or longer with tax relief.

https://www.fidelity.co.uk/pension-transfer/?intcmp=hero1_sipp_cashback-offer_nov_2021#cashback-offer

That sounds a peachy offer. 
However I note the quoted SIPP fee is 0.2%, which would work out at about £720 pa. 
I can't see how the £3.75 per month fee arises.

£45 flat fee if you only hold ETFs

Ah! Deep in the key features separate document.
I'm still trying to work out if  I can transfer in specie, in case I get stung on bid/offer spread when transferring out of VWRL into cash. I'd be surprised if Fidelity didn't offer it, but want to ensure I dont get stung with excessive transfer fees.

Yes, it's not heavily promoted, funny that! Someone on the forum posted recently about how they managed to reduce their overall fee of 0.2% once over £250k using a combination of ETfs and funds. I need to get my head around the maths of that as that would be my preferred combination.

I plan to do in specie as well despite the time lag as I've learnt the hard way that delayed cash transfers are more costly.

Alexland

ex-pat_scot said:

I'm still trying to work out if  I can transfer in specie, in case I get stung on bid/offer spread when transferring out of VWRL into cash. I'd be surprised if Fidelity didn't offer it, but want to ensure I dont get stung with excessive transfer fees.

I just logged into Fidelity and it seems to be giving me the option to trade VWRL so you should be able to transfer it across although at 0.22% on your £350k it might be cheaper over the long term to put 90% in VEVE at 0.12% and 10% in VFEM at 0.22% (so 0.13% overall) and paying a bit more in trade fees to reinvest dividends for both ETFs and maybe some £10s to rebalance once or twice a year. I was holding my 10% EM exposure via my workplace pension but recently decided I didn't want any EM anyway.

Chickereeeee

ex-pat_scot said:

I've been with ii since they took over Alliance Trust, for my SIPP.
My circumstances are simple - £350k ish of VWRL ETF.
Costs are £20 per month.
Divis come through in USD$ rather than auto reinvested (which they were, under ATST). It's not hard to do a manual transfer USD to GBP then a manual purchase.

Once I get to decumulation, I will investigate the costs and features of their offering. At the moment I feel they are still fine for my purpose.

Of course, you could hold VWRP instead, and forget the dividend/exchange/re-invest hassle. Or indeed swap to one of the many funds (Acc) that cover the same territory, as II don't charge more for holding funds.

ex-pat_scot

Initiated the transfer process - £45 pa Fidelity vs £240 pa ii. Plus £1,000 cashback (I'll partially transfer from Scottish Widows GPPP to hit the top cashback level)

Alexland

Just don’t blame me if you hate the Fidelity service as individual experiences will vary.

ex-pat_scot

Alexland said:

Just don’t blame me if you hate the Fidelity service as individual experiences will vary.

I used to have a group scheme with Fidelity from 2001 to 2014 or so, when I consolidated into Alliance Trust SIPP. I had no issues with them previously, and rather expect to have no real need of anything remotely nonroutine, until I start decumulating in 2.5 years or so.

Thrugelmir

granta said:

ex-pat_scot said:

Alexland said:

ex-pat_scot said:

My circumstances are simple - £350k ish of VWRL ETF.
Costs are £20 per month.

I do similar with more in VEVE ETF but on Fidelity it's only £3.75 per month plus £1.50 for quarterly divi reinvestment.

They would offer you £500 transfer cashback to pay their fees for the next decade or longer with tax relief.

https://www.fidelity.co.uk/pension-transfer/?intcmp=hero1_sipp_cashback-offer_nov_2021#cashback-offer

That sounds a peachy offer. 
However I note the quoted SIPP fee is 0.2%, which would work out at about £720 pa. 
I can't see how the £3.75 per month fee arises.

£45 flat fee if you only hold ETFs

ETF's while cheap fee wise do have disadvantages. As with any investment enter with your eyes wide open. Investment banks will create ETF's for absolutely anything if it generates them profit. Likewise change the remit if neccessary without prior warning.