Regular Investing into S&S ISAs

Nick_C

Thoughts please.

I want to invest £450 a month of surplus income into S&S ISAs from April onward. (I have plenty of cash to cover emergencies).

I currently have a Nutmeg/JPM S&S ISA that I put £500 in for a sign-up bonus, and £100 in a Santander S&S ISA that I opened purely for the cashback. I bought Vanguard Life Strategy 100% equity through Santander.

I like the JPM app and I intend to keep that going for at least a year, but I’m looking for two further investments.

I know that other platforms have lower fees than JPM, but my total investment with them at the end of 2026/7 will only be £2300, so I don’t think the fee difference is significant in the short term.

My plan is;

1. Fund JPM with £150 a month from April
2. Close Santander once I’ve got the £50 cash back, and buy the same ETF (Vanguard Life Strategy 100% equity) directly from Vanguard. Invest £150 a month.
3. Open an account with Fidelity to invest £150 a month into Allianz Best Styles Global AC Equity Fund

Reasons – JPM, for no better reason that I like the app, and their performance seems OK..

Vanguard – avoid over exposure to the US and tech shares.

Fidelity, to put some money into a managed OEIC with a reasonable level of fees.

I understand that fees on JPM and Fidelity/Allianz are both just under 1%. Vanguard is 0.2%

Would welcome any comments on the proposed funds and platforms, and the level of diversification.

I used to invest actively in individual shares, so I understand the risks of investing, but I am new to OEICs and ETFs, and no longer have sufficient capital to build up a diverse portfolio. (I liquidated my investments ten years ago when we upsized to a new home.)

flaneurs_lobster

Any particular reason for not using Santander (says the Santander user who really hasn't looked at other options..)?

Nick_C

I'm assuming the Vanguard ETF is cheapest bought directly from Vanguard?

I don't think Santander sell the Allianz Best Styles Global AC Equity Fund?

masonic

I'm assuming the Vanguard ETF is cheapest bought directly from Vanguard?

Why would you assume that? In fact, it is cheaper if bought and held in a zero fees platform.

Nick_C

@masonic - information overload and poor note-keeping! I thought, wrongly, that that Vanguard didn't charge a fee if you were funding by monthly DD. I must have mixed them up with someone else.

So would Trading 212 be a good platform to buy the Vanguard ETF?

masonic

https://forums.moneysavingexpert.com/discussion/comment/81857173#Comment_81857173

Vanguard Lifestrategy 100% Equity isn't an ETF, and therefore isn't available at Trading 212 (which only deals in exchange traded investments). But Trading212 would be a good place to invest in anything exchange traded.

If you want VLS100, then the cheapest place to buy and hold will be Scottish Widows Share Dealing (used to be iWeb) where regular investing is free and the custody fee is zero. There is a flat £5 fee to sell. You will pay the same 0.2% pa fund fee wherever you hold it. At Vanguard, you would pay an extra £4 per month but there is no fee to sell.

If you invested into four parts ACWI to one part CUKX to mimic the allocation of VLS100 over at Trading212, then you'd pay a fund fee of 0.12% and nothing else.

Nick_C

Super thanks Masonic!!

jimjames

https://forums.moneysavingexpert.com/discussion/comment/81857027#Comment_81857027

Buying might be cheapest (ie free) but you'll be paying a minimum of £4 per month to hold it so for small amounts fees will be a large chunk