Basic questions about fees for Stocks and Shares ISA

moorster

MeteredOut said:

moorster said:

Hello. I have a stocks and shares ISA, opened through my financial advisor with Aviva. If I wish to pay my £20,000 annual allowance into the ISA she wants to receive 3% (£600) from me. Is that normal practice? Or sharp practice?!

It can be both normal (if that’s the agreement you have with your advisor), and sharp. But there’s no way I’d be paying 3% to invest into an ISA. How has their previous investment advice performed?

Thanks to everyone for their advice.

To answer your question, there seem to be a number of layers to who is managing the ISA, so I am not sure what she herself has done. She is very slow and not proactive in ensuring that our annual review takes place. The ISA (opened 6 years ago) itself has made a 4.57% return in the last 12 months, and a 12.53% return in the last 24 months.

dunstonh

moorster said:

MeteredOut said:

moorster said:

Hello. I have a stocks and shares ISA, opened through my financial advisor with Aviva. If I wish to pay my £20,000 annual allowance into the ISA she wants to receive 3% (£600) from me. Is that normal practice? Or sharp practice?!

It can be both normal (if that’s the agreement you have with your advisor), and sharp. But there’s no way I’d be paying 3% to invest into an ISA. How has their previous investment advice performed?

Thanks to everyone for their advice.

To answer your question, there seem to be a number of layers to who is managing the ISA, so I am not sure what she herself has done. She is very slow and not proactive in ensuring that our annual review takes place. The ISA (opened 6 years ago) itself has made a 4.57% return in the last 12 months, and a 12.53% return in the last 24 months.

The adviser themselves has little to do with actual investment returns (nor do any consumers).  Those will be what they will be.   The adviser is responsible for ongoing suitability and providing ongoing advice.  The adviser picks the investment funds or investment solutions.