Advice on starting regular investing

sxp842

Hi, I would like to start investing £400 a month for my kids (both under 3) to start building up savings for when they reach adulthood.

I need to use interactive investor (as that’s where our other investments are held).

I recently set up a regular monthly investment into State Street SPDR MSCI All Country World ETF. However, I’ve just realised that you can only buy whole shares of this ETF, so part of the £400 is being left uninvested.

Can anyone recommend a similar all world investment fund that would allow me to automatically invest the full £400 each month, and which I can purchase on interactive investor?

Would something like the HSBC FTSE all world index fund, or Vanguard FTSE global all cap index fund be suitable?

I originally went with an ETF because of the lower fees, but I didn’t realise you couldn’t purchase fractional shares on interactive investor. I’m looking for something that I can automatically invest the money in and just set and forget, and ideally not touch for another 20 years.

Thanks

tetrarch

In the scheme of things, an invested portion of an ETF that costs ~£38 is a small consideration. The cumulative cash will build up, as will the univested dividend reinvestment surpluses so there will always be some housekeeping anyway to manage the cash.

I and my family are all well into ii and trade execution is so simple that it shouldn't be too burdensome if that is the fund that you want

Regards

Tet

InvesterJones

Would something like the HSBC FTSE all world index fund, or Vanguard FTSE global all cap index fund be suitable?

Yes, HSBC all world is very similar to the fund you previously considered, while the vanguard all cap adds in small companies which are otherwise too small to be considered in the other funds. Both are good choices.

Albermarle

Normally parents investing for children use JISAs.

Two platforms offer them with zero platform fees - Hargreaves Lansdown & Fidelity.

jaybeetoo

https://forums.moneysavingexpert.com/discussion/6667381/advice-on-starting-regular-investing

To avoid capital gains tax and tax on any income, set up JISA’s.

LHW99

Fidelity Index World is also availble on II