Moving to Vanguard from HL for Lower Fees and Cheaper Investment Advice

Albermarle

Chart 4 of this government report tells us that £250,000 in an ISA is not a problem that too many people have

To be fair the Vanguard cap of £375 applies to all funds across the platform. So £250K including a  SIPP + ISA is more likely.

On the other side , I think HL £45 ETF cap only applies to the ISA, if you have a SIPP the cap is a separate £200.

If you have  large ETF multiple accounts, you would be better off with Fidelity, where the £45 cap applies across the whole platform.

sebtomato

Albermarle said:

If you have  large ETF multiple accounts, you would be better off with Fidelity, where the £45 cap applies across the whole platform.

But Fidelity also has a transaction fee every time you buy or sell ETFs.

If you are going to buy ETFs many times each year, I think Vanguard wins in many cases when it comes to fees, as there are no transaction fees.

In my case, I invest in about 7 ETFs to have a diversified portfolio, and would do so probably once a month.

That's a minimum of 7 x 12 = 84 transactions per year, or £840 of fee with Fidelity. Probably similar with HL.

Of course, if you only buy a few times a year, Fidelity or HL might be more advantageous.