How did I get this weird profit/loss figure on on IWeb statement?

GeoffTF

isayhello said:

GeoffTF said:

It is a bad idea to invest in VWRD, which is priced in dollars. iWeb will charge you 1.5% foreign exchange commission when you buy, and another 1.5% when you sell. VWRL would be much better choice. VEVE with a market weight of VFEM would be cheaper still. You should never rely on brokers' valuations. If you want to know your investment return, work it out yourself from public numbers.

Thanks, I just remember transferring this after selecting it a long time ago, I thought the foreign exchange would only have an impact on initial purchase and then anytime I sell, is that not the case? It might be worth looking at a GBP version then and I'll check those you suggested, I want to make a few changes in time for the new year.

Once you have bought the USD denominated version the damage is done. You are going to have to convert again when you sell, unless you spend the money in USD. If you want to reinvest in other USD denominated securities, you can use an account that allows you to hold USD (but that is not allowed for an ISA).

isayhello

GeoffTF said:

Once you have bought the USD denominated version the damage is done. You are going to have to convert again when you sell, unless you spend the money in USD. If you want to reinvest in other USD denominated securities, you can use an account that allows you to hold USD (but that is not allowed for an ISA).

Ok, thanks, it's happened now but I'm glad it's not regularly charging this fee for any reinvestment that might be happening inside. I'll think about changing this to another fund but I guess there is no immediate rush.