Global index for Hargreaves Landown LISA

Ciprico

I am not finding it easy to see the costs on HL.

They talk about funds, but funds is a pretty vague term..

Is there any reason regarding costs not to hold HMWO in a LISA ?

HL don't list any ETFs on the favourite funds held in Lisa's, the nearest fund to hmwo being Fidelity World Index with higher charges...

Thanks for any guidance...

masonic

No reason not to. SWLD is a cheaper option (0.12%pa vs 0.15%pa) and is accumulating, which might be better. These are developed world only, so you might consider adding an emerging markets ETF subject to your portfolio size making this cost-effective.

Albermarle

HL don't list any ETFs on the favourite funds held in Lisa's, the nearest fund to hmwo being Fidelity World Index with higher charges...

I would ignore their favourites list

HMWO has a charge of 0.15% and Fidelity World 0.12%

Fidelity Index World (Class P) Accumulation Fund Price & Information (hl.co.uk)

masonic

Albermarle said:

HL don't list any ETFs on the favourite funds held in Lisa's, the nearest fund to hmwo being Fidelity World Index with higher charges...

I would ignore their favourites list

HMWO has a charge of 0.15% and Fidelity World 0.12%

Fidelity Index World (Class P) Accumulation Fund Price & Information (hl.co.uk)

Fidelity Index World is an OEIC, so attracts a platform fee of 0.45% up to £250k and 0.25% from £250k-£1m, rather than the 0.45% capped at £45 pa that an ETF would. On £250k, this would mean the difference between £1,125 per year vs £45. I know which I'd rather pay. A portfolio valued at >£10k is cheaper to hold in exchange traded investments, fund fees being equal, although practically the switch may be more cost effective to make later due to the difference in trading costs.

Albermarle

masonic said:

Albermarle said:

HL don't list any ETFs on the favourite funds held in Lisa's, the nearest fund to hmwo being Fidelity World Index with higher charges...

I would ignore their favourites list

HMWO has a charge of 0.15% and Fidelity World 0.12%

Fidelity Index World (Class P) Accumulation Fund Price & Information (hl.co.uk)

Fidelity Index World is an OEIC, so attracts a platform fee of 0.45% up to £250k and 0.25% from £250k-£1m, rather than the 0.45% capped at £45 pa that an ETF would. On £250k, this would mean the difference between £1,125 per year vs £45. I know which I'd rather pay. A portfolio valued at >£10k is cheaper to hold in exchange traded investments, fund fees being equal, although practically the switch may be more cost effective to make later due to the difference in trading costs.

You are right of course, but the OP seemed to imply that the Fidelity World had higher charges than HMWO, which it does not ( if you ignore platform charges) .

mattywallace121

The charges for funds in a LISA at HL is 0.25% now.