iShares SEGA vs Vanguard VETY ETFs

fire_in_progress

Hi - one of the holdings in my SIPP with Fidelity is the iShares SEGA ETF.

I'd like to move my SIPP to Freetrade (to take advantage of their cashback offer), but Freetrade doesn't offer SEGA (and I have e-mailed Freetrade to have SEGA added to their list of ETFs, to no avail to date).

Freetrade does offer Vanguard VETY, though. So, I was thinking to sell my SEGA and buy VETY in Fidelity on the same day (to avoid market fluctuations) and then transfer my SIPP to Freetrade.

I am aware that a partial transfer to Freetrade is possible, but I was wondering if SEGA and VETY are similar enough for all intents and purposes (not interested in collecting dividends at the moment, as I am still contributing into my SIPP).

Am I missing anything? Grateful for any advice.

malcolmK

You could compare the funds’ factsheets to help

https://www.ishares.com/uk/individual/en/literature/fact-sheet/iega-ishares-core-govt-bond-ucits-etf-fund-fact-sheet-en-gb.pdf

and

https://fund-docs.vanguard.com/EUR_Eurozone_Government_Bond_UCITS_ETF_EUR_Distributing_9660_EU_INT_UK_EN.pdf

At a brief look they seem very similar to me…but you’ll have to check if they are similarly enough for you.

“Missing anything?”
There will likely be a bid offer spread as noted in this KIID https://fund-docs.vanguard.com/ie00bz163h91-en.pdf, as these are ETFs and we’re not authorised participants. I suspect you know this already.

fire_in_progress

Hi, thanks.

Yes, as far as I can see, the two ETFs are fairly similar, although not identical (e.g. number of bonds and dividend distribution frequency).

And yes, any additional trading costs from selling SEGA and buying VETY will be offset by the cashback earned with Freetrade.