Which global tracker fund and platform for sipp and isa?

Rt90

Hello everyone.
I currently have a sipp with Vanguard in LS100 acc. This has served me well as a starting point but I’m not comfortable with the U.K. bias and it’s semi active nature. Maybe the slug of U.K. provides a bit of currency hedging but it’s too high a percentage for me.
The two funds I’m looking at are the Vanguard ftse global all cap and the HSBC ftse all world index fund c.
 Not much between them. I like the Vanguard fund for it’s little bit of small cap. It holds over 7000 shares  to HSBC’s 3000+ which seems more diverse. The small cap will account for the extra between the two I expect so that’s probably fairly insignificant.
The Vanguard fund has a charge of 0.23% with overall charge of 0.43% for holding it on their platform which I’m already on. Obviously this is the easiest option for me provided staying with the Vanguard platform is a good option.
The HSBC option has a cheaper fund charge of 0.12% but would require a platform change.
Any advice on these funds , platforms, or any alternatives will be much appreciated.
The main priority is to increase the pension pot but I will also be looking to add an isa in the near future. Ideally using the same fund and platform for simplicity.
My investment strategy really is a one fund set and forget approach.
Many thanks for any help.

ColdIron

They are both decent trackers and you won't go far wrong with either

If you like the FTSE All World index but want to stick to Vanguard Investor you might look at the Vanguard ETF: VWRP  but still a 0.22% OCF. Possibly VHVG with an OCF of 0.12%, but developed world only (no EM)

If you're sold on the HSBC FTSE AW fund then maybe have a look at IWeb for the ISA. No platform fee and £5 to buy and sell. No good if you are drip feeding or have very low sums but could be an option, lower platform charge and OCF. They are expensive for SIPPs so don't use them for that

Rt90

Thank you. I will take a look at those. I will be drip feeding into the fund. I quite like that I can buy fractional shares with the global all cap.

Albermarle

The Vanguard fund has a charge of 0.23% with overall charge of 0.43% for holding it on their platform 

Vanguards platform fee is 0.15% I think, not 0.2%?

The two funds I’m looking at are the Vanguard ftse global all cap and the HSBC ftse all world index fund c.

Another similar fund that is often mentioned on here is Fidelity World P.

Rt90

Yes platform fee at Vanguard is 0.15%. Ongoing fund cost is 0.23%.
I only mentioned both funds ongoing costs for comparison.
 I left it open to platform suggestions as I’ve only used Vanguard.

cloud_dog

Dodl (AJ Bell offering) charges the same low percentage of 0.15%, although the have a minimum charge of £1pm, so for smaller amounts of less than £8k they will work out slightly more expensive than Vanguard.

They do offer the HSBC All World Index acc.

https://www.dodl.co.uk/investments/themed

Hoenir

Rt90 said:

My investment strategy really is a one fund set and forget approach.

A single index doesn't provide the broad diversification that a leave and forget portfolio requires. Global equity indices have a high weighting to the US domestic economy.  A bias in itself. The key to investing is understanding what you are investing in. 

Rt90

Hoenir said:

Rt90 said:

My investment strategy really is a one fund set and forget approach.

A single index doesn't provide the broad diversification that a leave and forget portfolio requires. Global equity indices have a high weighting to the US domestic economy.  A bias in itself. The key to investing is understanding what you are investing in. 

I understand I’d be in investing in a global fund weighted by market capacity. U.S is by far the largest.
What would you suggest?

Eyeful

For a newbie or someone who lacks the time or inclination to learn about investing a low cost passive Global Index Fund or ETF, will beat many active funds with their high charges/fees run by professional managers! 

If you want to take less risk, then a low cost passive Global Multi Asset Index Fund or EFT set at a share/bond split that you are comfortable with would be the way to go. 

Either of these are a good buy & forget approach for a newbie. Just do not jump ship when the markets fall.

You can make investing as simple or as complex as you like.

The investment industry likes to make it complex and encourages you to change shares or funds often. That is the way they make money from you.
What this means is that over a long period of time, they shift a large amount of your money into in to there own pockets.
The simple low cost passive approach puts you in charge, keeps the charges low, so you closely can follow a Major Global Index & get on with life. 

Have you watched this?   https://www.kroijer.com/

Rt90

Eyeful said:

For a newbie or someone who lacks the time or inclination to learn about investing a low cost passive Global Index Fund or ETF, will beat many active funds with their high charges/fees run by professional managers! 

If you want to take less risk, then a low cost passive Global Multi Asset Index Fund or EFT set at a share/bond split that you are comfortable with would be the way to go. 

Either of these are a good buy & forget approach for a newbie. Just do not jump ship when the markets fall.

You can make investing as simple or as complex as you like.

The investment industry likes to make it complex and encourages you to change shares or funds often. That is the way they make money from you.
What this means is that over a long period of time, they shift a large amount of your money into in to there own pockets.
The simple low cost passive approach puts you in charge, keeps the charges low, so you closely can follow a Major Global Index & get on with life. 

Have you watched this?   https://www.kroijer.com/

Your last sentence is basically what I decided on a few years ago. A simple passive approach. Started off with Lifestrategy as it was easy to incorporate a few bonds in the mix with it’s split options. Ditched the bond element fairly soon after due to the timescale I’ll be invested for.
I’ve read well on investing and won’t be doing anything daft like selling in a crash etc. Seen a few already.

I was just after anyones opinions on the two funds, platforms, alternatives. I would expect very similar results from both but maybe I’d learn of something different from the good folks on here or like in your post have my thoughts reaffirmed.

GazzaBloom

Hoenir said:

Rt90 said:

My investment strategy really is a one fund set and forget approach.

A single index doesn't provide the broad diversification that a leave and forget portfolio requires. Global equity indices have a high weighting to the US domestic economy.  A bias in itself. The key to investing is understanding what you are investing in. 

What percentage of a global equity index constituents revenues are generated from their domestic US business vs international revenues?

This is an old article but highlights that around 40% of S&P500 and 50% of NASDAQ listed companies revenues are generated from outside the US.

https://www.morningstar.com/funds/your-us-equity-fund-is-more-global-than-you-think

in my opinion a single low cost global equity index fund is fine for the equity allocation of a set and forget portfolio. Just add a lower risk or risk off counterbalance to match your risk appetite/long term growth needs, which could be a single global bonds index fund or a money market fund/cash equivalent fund depending on your preference for duration risk, re-balance the allocation to each annually, and you could leave it at that to deliver perfectly reasonable returns over 20-30 years.

I wouldn't get too hung about sweating which global equity index to choose, just pick one and get investing.