ISA Management charges

eskbanker

ac427 said:

I have 12k with iii. for the first 12 months it was free now it is £5 per month.

i am just considering moving it because the fees probably outweigh any gains i might make.

What are you invested in if your annual growth expectations are only in 0.5% territory?!

Beddie

ac427 said:

I have 12k with iii. for the first 12 months it was free now it is £5 per month.

i am just considering moving it because the fees probably outweigh any gains i might make.

I agree - no point paying £5 a month. You can either choose something like iweb (no fees but £5 each time you buy or sell) or go with a free platform such as Trading 212. I use them and they are excellent, with no fees. You can only buy investment trusts, ETFs and shares with them though, no funds.

Plenty of other options too.

sausage_time

As above, iWeb is one option worth looking at.  I'd add Trading 212 as well (no platform or trading fee).  I use both.

jimjames

Fees shouldn't outweigh gains but you're right to try to minimise fees. You're currently paying 0.5% platform fees plus whatever the investment management fees are. 
As a comparison for your £12k, it would cost you annually £54 with HL (0.45%) or £48 with Vanguard or £0 with iWeb if you don't add anything to it, £60 if you buy once a month.

eskbanker

jimjames said:

As a comparison for your £12k, it would cost you annually £54 with HL (0.45%) or £48 with Vanguard or £0 with iWeb if you don't add anything to it, £60 if you buy once a month.

OP hasn't yet said what they're invested in, so those specific figures may not apply, e.g. HL cap annual fees for shares/ETFs at £45.

dunstonh

ac427 said:

I have 12k with iii. for the first 12 months it was free now it is £5 per month.

i am just considering moving it because the fees probably outweigh any gains i might make.

The fee equates to 0.50%.  If you think the returns are going to be less than 0.50% p.a. then you really should be looking at what you are investing in before you start looking at charges.

saajan_12

ac427 said:

I have 12k with iii. for the first 12 months it was free now it is £5 per month.

i am just considering moving it because the fees probably outweigh any gains i might make.

You need to look at the £5 / month in conjunction with the other costs and fees. There might be platform fees, fund fees, transaction fees etc which you're charged as well, but just not as overtly broken down. Wherever you move may have more or less than this total fee. 

You should be making somewhere in the region of £40-100 a month on that size of income, so £5 shouldn't be outweighing.