Cheapest Lifetime ISA all world ETF

mugston

I want to start a Lifetime ISA.

It will be very simple - one deposit of the maximum £4k each year, into a cheap diversified all world ETF such as VWRL.

Who can I do this through with the lowest fees?

Thanks.

j_netprofit

Not sure an ETF would be the best option because 99% of platforms don't allow fractional purchases, so investing your 4K (5K) in full might not be possible.

ColdIron

Why an ETF? You can get all world funds that are nearly half the OCF of VWRL

mugston

@ColdIron - VWRL has ongoing fees of 0.22%

What similarly diversified all world fund do you recommend?

@jay_ftw - Thanks, I didn't know that.

What would be the easiest and cheapest way to invest my £4k into a diversified all world fund?

cloud_dog

mugston said:

I want to start a Lifetime ISA.

It will be very simple - one deposit of the maximum £4k each year, into a cheap diversified all world ETF such as VWRL.

Who can I do this through with the lowest fees?

Thanks.

HSBC FTSE ALL WORLD INDEX CLASS C
(it may not be the absolute cheapest, but is down there with them at 0.13%, and cheaper than VWRL at 0.22%)

And with the amounts you are talking about you should probably go with Dodl (AJ Bell app platform), charging 0.15% (min £1 pm).  Once above £30k, you should transfer to AJ Bell vanilla offering (due to the charging cap) and / or Hargreaves Lansdown (I don't think HL currently accept transfers in, but haven't checked in a while).

j_netprofit

cloud_dog said:

mugston said:

I want to start a Lifetime ISA.

It will be very simple - one deposit of the maximum £4k each year, into a cheap diversified all world ETF such as VWRL.

Who can I do this through with the lowest fees?

Thanks.

HSBC FTSE ALL WORLD INDEX CLASS C
(it may not be the absolute cheapest, but is down there with them at 0.13%, and cheaper than VWRL at 0.22%)

And with the amounts you are talking about you should probably go with Dodl (AJ Bell app platform), charging 0.15% (min £1 pm). 

This is exactly my plan come April. I actually made a thread about it in the ISA sub-forum.

ColdIron

I'm not recommending anything, just pointing out that focussing on the structure of your investment may not be the best metric. If you want cheap, go for cheap. What is it about open ended funds that rules them out for you?

The HSBC FTSE All World Index has an OCF of 0.12%

mugston

Thanks for responses guys.

@ColdIron it may be that VWRL was the cheapest all world fund available to me with that level of diversification before I moved to UK (have not made the move yet).

hewhohuntselves

cloud_dog said:

mugston said:

I want to start a Lifetime ISA.

It will be very simple - one deposit of the maximum £4k each year, into a cheap diversified all world ETF such as VWRL.

Who can I do this through with the lowest fees?

Thanks.

HSBC FTSE ALL WORLD INDEX CLASS C
(it may not be the absolute cheapest, but is down there with them at 0.13%, and cheaper than VWRL at 0.22%)

And with the amounts you are talking about you should probably go with Dodl (AJ Bell app platform), charging 0.15% (min £1 pm).  Once above £30k, you should transfer to AJ Bell vanilla offering (due to the charging cap) and / or Hargreaves Lansdown (I don't think HL currently accept transfers in, but haven't checked in a while).

Why not transfer a bit sooner to Halifax Share Dealing to benefit from the £36 annual platform fee and the free regular investing?  It’s an underrated service.

Albermarle

hewhohuntselves said:

cloud_dog said:

mugston said:

I want to start a Lifetime ISA.

It will be very simple - one deposit of the maximum £4k each year, into a cheap diversified all world ETF such as VWRL.

Who can I do this through with the lowest fees?

Thanks.

HSBC FTSE ALL WORLD INDEX CLASS C
(it may not be the absolute cheapest, but is down there with them at 0.13%, and cheaper than VWRL at 0.22%)

And with the amounts you are talking about you should probably go with Dodl (AJ Bell app platform), charging 0.15% (min £1 pm).  Once above £30k, you should transfer to AJ Bell vanilla offering (due to the charging cap) and / or Hargreaves Lansdown (I don't think HL currently accept transfers in, but haven't checked in a while).

Why not transfer a bit sooner to Halifax Share Dealing to benefit from the £36 annual platform fee and the free regular investing?  It’s an underrated service.

They do not offer a LISA, as far as I know.

masonic

FWRG is one to keep an eye on. Still a bit small, but OCF is just 0.15% and it is eligible for the cap on platform fees at AJ Bell.