Starting with Stocks & Shares ISA - which platform?

Zerforax

So I have decided I need to start saving in S&S ISA. I'm happy where I am on the mortgage and my pension so I want to start building S&S ISA. The plan is that it could be used to bridge retiring at 50-55 vs. when I can access my pension in the ideal world. I'm currently late 30s so I have 15+ years of long term growth before I would want to use.

I've decided I want to invest in the HSBC FTSE All-World Index C (acc) fund. 

I'm struggling with working out which platform to use? I currently have zero in the ISA. I will likely fund £2k a month for the next 10 months in order to max out my £20k limit for this tax year. I've read some platforms are cheaper than others, some are flat rates, some are % so I would appreciate some advice on which suits my situation. I've tried to look at interactive investors, AJ Bell, Interactive Brokers, HL, Trading 212 etc but still a bit lost!

eskbanker

Here's a site where you can compare costs (if that's what you're going to measure them on):

https://monevator.com/compare-uk-cheapest-online-brokers/

There was a better one, where you could just enter your figures and it would produce a ranked list of platforms, but it's currently out of action, don't know if/when it'll be back:

https://www.comparefundplatforms.com/

El_Torro

Hargreaves Lansdown aren't particularly cheap, especially if you use funds and have a big pot. Even so I would recommend this for someone starting out. Good intuitive website. As your experience and pot grows you may want to transfer to another cheaper platform. 

If you're only concerned about cost then you'll want to avoid HL from the get go. 

wmb194

Zerforax said:

So I have decided I need to start saving in S&S ISA. I'm happy where I am on the mortgage and my pension so I want to start building S&S ISA. The plan is that it could be used to bridge retiring at 50-55 vs. when I can access my pension in the ideal world. I'm currently late 30s so I have 15+ years of long term growth before I would want to use.

I've decided I want to invest in the HSBC FTSE All-World Index C (acc) fund. 

I'm struggling with working out which platform to use? I currently have zero in the ISA. I will likely fund £2k a month for the next 10 months in order to max out my £20k limit for this tax year. I've read some platforms are cheaper than others, some are flat rates, some are % so I would appreciate some advice on which suits my situation. I've tried to look at interactive investors, AJ Bell, Interactive Brokers, HL, Trading 212 etc but still a bit lost!

That's an OEIC so you need to make sure it's offered. Trading212 doesn't offer OEICs so that one's out.

You could use HSBC's fund platform. You need a HSBC current or savings account, 0.25% annual fee paid quarterly and no commission to purchase or sale. I cannot see it in the Monevator list linked above (it isn't the same as HSBC Invest).

https://www.hsbc.co.uk/investments/funds/

kimwp

Don't forget to consider LISAs if you are under 40.

I'm invested in the HSBC all world acc. Fund, I've got it with iweb as there's no holding charge. £5 per transaction though, so others may be cheaper if you are investing every month. (I'm cycling money through regular savers before popping the money in in chunks, so money is going in less frequently)

eskbanker

kimwp said:

Don't forget to consider LISAs if you are under 40.

A product that incurs substantial withdrawal penalties if accessed before 60 (other than for first properties) is unlikely to fit OP's requirement:

Zerforax said:

The plan is that it could be used to bridge retiring at 50-55 vs. when I can access my pension in the ideal world.

Albermarle

kimwp said:

Don't forget to consider LISAs if you are under 40.

I'm invested in the HSBC all world acc. Fund, I've got it with iweb as there's no holding charge. £5 per transaction though, so others may be cheaper if you are investing every month. (I'm cycling money through regular savers before popping the money in in chunks, so money is going in less frequently)

OP, You can compare the above with :

HL 0.45% no charge for each monthly investments
Fidelity 0.35% ditto
AJ Bell 0.25% £1.50 per monthly investments.

The charge for the actual HSBC fund will be the same for all. 

Beddie

Trading212 is a good choice. No platform fees or charges.

No funds on there, so you could buy this ETF instead: 

Invesco FTSE All-World

https://www.trading212.com/trading-instruments/invest/FWRG.GB

boingy

iWeb is good for large one-off investments. £5 per trade and no ongoing account fees. But obviously for monthly contributions you'll be paying a fiver each time. You could take the view that a fiver is not much on your 2k each month or you could build up the money in a cash ISA and transfer to iWeb once or twice per year. iWeb don't pay interest on any cash balances so you need to invest the funds as soon as they are in there.

Zerforax

eskbanker said:

Here's a site where you can compare costs (if that's what you're going to measure them on):

https://monevator.com/compare-uk-cheapest-online-brokers/

There was a better one, where you could just enter your figures and it would produce a ranked list of platforms, but it's currently out of action, don't know if/when it'll be back:

https://www.comparefundplatforms.com/

Okay thank you! The monevator website is so old fashioned and bad

Looks like at this stage I need to pick a percentage fee platform while my pot is small.

Zerforax

boingy said:

iWeb is good for large one-off investments. £5 per trade and no ongoing account fees. But obviously for monthly contributions you'll be paying a fiver each time. You could take the view that a fiver is not much on your 2k each month or you could build up the money in a cash ISA and transfer to iWeb once or twice per year. iWeb don't pay interest on any cash balances so you need to invest the funds as soon as they are in there.

Maybe something I can use in the future. The markets are not doing so well at the moment but I don't have the cash to put everything in right now.