Wealthify - shocking amateurs

spitfire21

I really don't think MSE should have any association with this outfit. After three years they have turned the £5,000 investment in my grandson's ISA into £4,850. This is based on their middle ground investment plan.
When we contact them their response is the classic standard, " investment is a long-term thing". Of course it is, but this is just such an obviously poor performance. They have no real expertise that I can discern and clearly in this case the worst performing kid's account would have left them standing.
I've now had enough and we're transferring the account. Again, this is an opportunity for Wealthify to demonstrate their tortuous approach. Despite their website suggesting a 10 day turnaround, on the phone they say 30, possibly 60 days. How can this be? Are they still using quill pens? Their admin is on a par with their investment performance. 
Personally, I would advise anyone to think carefully before using these people. Read the reviews, particularly those relating to getting your money out. I believe something is not right here and any number of free £50 offers would not tempt me back. Assuming they do eventually complete the transfer that is.

wmb194

spitfire21 said:

I really don't think MSE should have any association with this outfit. After three years they have turned the £5,000 investment in my grandson's ISA into £4,850. This is based on their middle ground investment plan.
When we contact them their response is the classic standard, " investment is a long-term thing". Of course it is, but this is just such an obviously poor performance. They have no real expertise that I can discern and clearly in this case the worst performing kid's account would have left them standing.
I've now had enough and we're transferring the account. Again, this is an opportunity for Wealthify to demonstrate their tortuous approach. Despite their website suggesting a 10 day turnaround, on the phone they say 30, possibly 60 days. How can this be? Are they still using quill pens? Their admin is on a par with their investment performance. 
Personally, I would advise anyone to think carefully before using these people. Read the reviews, particularly those relating to getting your money out. I believe something is not right here and any number of free £50 offers would not tempt me back. Assuming they do eventually complete the transfer that is.

You probably over invested in bonds just when the interest rates turned and their capital values plummeted. Thems the breaks.

https://www.wealthify.com/general-investment-account

Eyeful

1. Why did you choose Wealthify to begin with?
2. What is the name of this worst performing kid's  account would have left them standing?
3. What are the charges on the fund & what charges are you paying Weathify?
4. What fund or funds are in your grandson's Junior ISA?
5. How much experience at investing?
6. Who are you thinking of transferring this ISA to?
7. What makes you think these new persons will be any different than Wealthify.


If you have no or limited experience at investing then these points my be of interest to you.

1.Any thing to do with money has risk attached, its just the type & size of risk that changes.

2. Any money needed within 5 years should be in a Bank/Building Society account covered by the FSCS up to £85K.

3. INVESTING means putting your money at risk.
You hope to get more out than you put in, but this this not guaranteed

4. Investing is for the long term, say at least 10 years. Then the odds of winning are HIGH..

  

5. You can make investing as simple or as complicated as you like.

6. The Simple method of investing boils down to this: 
 Low Cost Global Multi Asset Funds (for Cautious types & those that want more Control)

 This is a ready made portfolio, where you pick the share/bond split, you are most comfortable with.

Example:  https://www.hsbc.co.uk/investments/products/hsbc-global-strategy-portfolios/#balanced

7.  Academic research repeatedly shows that most "active fund managers" after charges are applied, do not beat a MAJOR  GLOBAL WORLD INDEX. 

8. Watch this: https://www.kroijer.com/

pramsay13

My Wealthify S&S ISA has gone from £11,197 to £14,667 in almost 5 years.
Any time I've withdrawn money it has taken around 2 weeks. 

Albermarle

As said we have been through an unusual period where normally boring stable bonds/gilts have lost a lot of value, due to the change from very low interest rates to more normal levels.
Your fund is nearly 60% bonds/gilts.
A similar fund would be the well known Vanguard Lifestrategy 40 .
During 2022/2023/2024 it only gained 0.5% 

jd84

The real issue here (and most pension funds) is how bonds are traditionally sold as 'low risk' investments, where more recent history shows significant losses.

Certainly more than the average risk profile might have suggested.

Had you picked a more 'high risk' option with less bonds, you would now be sitting on substantial gains.

I do wonder if this type of thing will turn into the next misselling scandal.

Alexland

Anything becomes high risk when the price is too high. Bonds were offering a 'return free risk' as some of us commented at the time.

I wonder if investors are feeling so burnt by bonds they might miss they are now attractive again. Similarly I wonder if people are feeling so comfortable with equities they are missing valuation risks.

mohawk1

pramsay13 said:

My Wealthify S&S ISA has gone from £11,197 to £14,667 in almost 5 years.
Any time I've withdrawn money it has taken around 2 weeks. 

Nice! Out of curiosity, what level of risk are you taking with your investments? And are you investing in ethical or standard?

dunstonh

 After three years they have turned the £5,000 investment in my grandson's ISA into £4,850. This is based on their middle ground investment plan.

That portfolio is not middle ground.  It is cautious, with only around 40% in equities.

 but this is just such an obviously poor performance. 

No it isn't.  It is performance that reflects the period in question.  Bonds, in particular UK Government Bonds, suffered their worst period in over 100 years.      Your portfolio, by your choice, was mostly invested in that area.

Personally, I would advise anyone to think carefully before using these people

Given your clear lack of knowledge and understanding, you are not in a position to advise anyone.

epm-84

I tried Wealthify when they had the bonus offers. For two separate £50 investments, one dropped by around £8 and when it eventually made it way back to around £48 I transferred out. The other made a small increase, so I quit while I was ahead. Overall (without the bonus) it didn't make me want to move any more funds from a cash ISA into a S&S one with them.

Barkin

I put a few quid with them when they were running a MSE offer.

18 months later it'd increased by 23%...