Fund price on contract note query

caper7

Hargreaves Lansdown ISA.
I put in an order for two funds on the 4 March, the transactions happened on the 5th and the contract note is dated 5th.
-HSBC FTSE all world index class c acc
-Vanguard FTSE dev world ex UK acc

I thought funds had one daily price unlike shares, and I don't believe there are any fees for buying funds in an HL ISA, but the price on the contract note doesn't match the price for that day (5th).
HSBC: HL own website says 317.96
Contract note says 317.998728
Vanguard: HL own website says 70420.95 
Contract note says 70422.53521
I called HL, they said HSBC was a "rounding" thing, but I don't understand how 317.96 becomes 317.998728
For Vanguard, they say the fund finalises it's price late at about 9pm so the price displayed as the 5th is probably for the day before. I said, therefore the price displayed as the 6th will be in fact the 5th, so I will check and call back if it doesn't match.
HL's website is displaying 69476.84 for the 6th.
I have been screenshoting the price on the 3, 4, 5 and 6, none match my contract note.
Am I missing something basic?
I'd be grateful for any explanation.

LHW99

Buying funds isn't like buying shares / ITs / ETFs. With those you can get a live price and find out exactly what price you are buying at.

With funds, most platforms seem to gather up the orders and submit them at a particular time of day. That then goes to the fund house who execute them at (presumably) their next price point, often the next day or next but one. That transaction then gets reported back to the platform and put on the contract note.

So what you buy / sell a fund at bears only a remote relationship to the price you see the day you put the order in - or the price on the site when they actually issue the contract note.

That's my understanding at least!

FrugaiMacDugal

caper7 said:

Hargreaves Lansdown ISA.
I put in an order for two funds on the 4 March, the transactions happened on the 5th and the contract note is dated 5th.
-HSBC FTSE all world index class c acc

Dealing frequency:	Daily
Valuation point:	12:00

-Vanguard FTSE dev world ex UK acc

Dealing frequency:	Daily
Valuation point:	21:00

The above taken from HL 'Other Information' for each fund.

So only dealt once a day, and no live prices.

Have a read here, from HL.

caper7

But that's my point, if there's only one price shouldn't it be a direct match with the contract note?

EthicsGradient

The Vanguard price shown now on the HL public page as "6th March" Vanguard FTSE Developed World ex-UK Equity Index Accumulation Performance Charts & Tables is
6th March 69476.84p 944.11p down on previous day (so that was 70420.95p, as in the OP)
The chart shows the day before that was lower - around 70250p. 

So the OP is right - there's a discrepancy between what HL display on their public site, and the value it's traded at, and it's nothing to do with valuation times. It's small - 0.002% - but their excuse of "rounding" doesn't wash. 317.998728 rounded to their 2 decimal places is 318.00, and 70422.53521 is 70422.54.

Perhaps the small adjustment is something to do with swing pricing, which I've never been able  to explain.

dunstonh

but the price on the contract note doesn't match the price for that day (5th).

The contract note will use the opening price for that day.
Data sources can use either the opening price or the closing price. Typically the closing price.

caper7

dunstonh said:

but the price on the contract note doesn't match the price for that day (5th).

The contract note will use the opening price for that day.
Data sources can use either the opening price or the closing price. Typically the closing price.

But wouldn't the opening price be the previous day's closing price then?
There is only one quoted price a day.
The contract note price doesn't match the price displayed for the 4th,5th or 6th of March for the Vanguard fund.
I still don't get it?

GeoffTF

For the Vanguard fund, HL's price matches the price on Vanguard's website:

https://www.vanguard.co.uk/professional/product/fund/equity/9210/ftse-developed-world-ex-uk-equity-index-fund-gbp-acc

You have been charged more than that. You can try filing a formal complaint with HL. I expect that the answer will be that you have been charged the correct price, and that the price on Vanguard's website is wrong.

I have a large holding of the income version of the same fund on Vanguard's own platform. On more than one occasion, there has been a discrepancy when I have checked the annual dividend payment that I have received against the value for the distribution on Vanguard's website. I have raised the matter with Vanguard. Their reply has been that the value on the website is wrong. They have corrected the website when I have chased them. It has been a long and frustrating business getting them to do that, so I have given up.

k12479

Could the differences possibly be due to different share classes?

GeoffTF

k12479 said:

Could the differences possibly be due to different share classes?

No. The price of the income units is very different. There are institutional units, but the OP will not be able to buy those.

wmb194

GeoffTF said:

k12479 said:

Could the differences possibly be due to different share classes?

No. The price of the income units is very different. There are institutional units, but the OP will not be able to buy those.

Depends on the platform. Not in this one but I own institutional units in some OEICs.