Interactive Investor to roll out ‘Netflix pricing’
Comments
-
^ This. The current £22.50/quarter could have simply become £7.50/month, and that is equally accurately spinnable as 'Netflix pricing' as is £9.99/month. I am also not sure what is so difficult about dividing by three or multiplying by either four or twelve.londoninvestor wrote: »The spin in this article is more annoying than the actual changes!
That all off my chest, for my specific case it turns out that Interactive Investor is still (only just!) the most economic platform. I have a SIPP going in to drawdown, so currently that would be £90/year for the platform (see, I can multiply by four!), plus £120 for the SIPP and £120 for drawdown. £330/year, then. Not cheap, but that's drawdown SIPPs for you.
Under the new pricing, I hardly trade at all so with the £10/month package -- sorry, £9.99/month, mustn't forget the whopping 12p saving Interactive Investor gives me there -- my costs become £359.88. A 9% rise in pricing.
The nearest rival I can find is iWeb, and here it would be nothing for the platform, but £45/quarter (payable to AJ Bell, unfortunately) for the SIPP and another £180/year for drawdown (also to AJ Bell, sigh). £360/year but with no trades thrown in. Pricey transfer out charges too (again, mostly down to AJ Bell). iWeb might have been good without AJ Bell in the mix. SIPPs carry a large overhead compared with ISAs and plain trading accounts.0 -
As others have said, the spin is annoying but actually it’s not a significant price rise compared to changes made by other platforms (e.g. AJ Bell) in the past.0
-
How do you know you will both be on the £9.99 plan? I can't see where it says what each entails.
[edit]
https://www.moneyobserver.com/news/interactive-investor-introduces-new-monthly-fee-modelThe first option, the Investor plan, will charge investors a subscription of £9.99 per month plus £7.99 per trade (for UK shares, ETF, investment funds and trusts), with one free trade per month. Trades on ii currently cost £10 for all users.
The second option, the Funds Fan plan, will cost £13.99 per month but offer investors the ability to trade investment funds and trusts for £3.99 plus two free fund or trust trades a month.
The third option, the Super Investor plan, costs £19.99 per month and offers UK share, ETF, fund and trust trades for £3.99. It also offers US share trades for £4.99, in contrast to £7.99 for the other platforms. International shares also cost £9.99, half the price of the £19.99 paid by investors in the other two plans.0 -
https://media-prod.ii.co.uk/s3fs-public/pdfs/ii_Service_Plans_and_Other_Charges_1June2019.pdf
Just to spam everyone on this thread.
For me;
7 holdings. 14 trades (sell and buy for rebalance once a year).
Old Scheme:
£120 SIPP Fee
£90 Account Fee
5 Trades @ £10 each (9 are free)
Total: £260
New Scheme [Investor]
£120 SIPP Fee
£119.88 Account Fee
11 Trades @ £7.99 each (3 are free, based on 90 days)
Total £327.77
New Scheme [Funds Fan]
£120 SIPP Fee
£167.88 Account Fee
8 Trades @ £3.99 each (6 are free, based on 90 days)
Total £319.800 -
Strange that ii have given this news to media, but I haven't heard anything as a customer yet.
The evening before last, I read an article about closure of some investment trust savings schemes, including a list of managers who had offered transfer to Hargreaves Lansdown.
That's odd, I thought after seeing JP Morgan on the list, I haven't heard anything. On the other hand the article didn't have a date, so I couldn't tell how old it was.
This morning I received a letter from JP Morgan ...0 -
I appear to have spent most of my adult financially engaged life running away from II (in one form or another).AnotherJoe wrote: »I think I'm just going to dump these jokers.
Who'd have thought II would increase prices once they obtained market share.... Hmmm.Personal Responsibility - Sad but True
Sometimes.... I am like a dog with a bone0 -
That all off my chest, for my specific case it turns out that Interactive Investor is still (only just!) the most economic platform. I have a SIPP going in to drawdown, so currently that would be £90/year for the platform (see, I can multiply by four!), plus £120 for the SIPP and £120 for drawdown. £330/year, then. Not cheap, but that's drawdown SIPPs for you.
Under the new pricing, I hardly trade at all so with the £10/month package -- sorry, £9.99/month, mustn't forget the whopping 12p saving Interactive Investor gives me there -- my costs become £359.88. A 9% rise in pricing.
The nearest rival I can find is iWeb, and here it would be nothing for the platform, but £45/quarter (payable to AJ Bell, unfortunately) for the SIPP and another £180/year for drawdown (also to AJ Bell, sigh). £360/year but with no trades thrown in. Pricey transfer out charges too (again, mostly down to AJ Bell). iWeb might have been good without AJ Bell in the mix. SIPPs carry a large overhead compared with ISAs and plain trading accounts.
Depending on your holdings Fidelity might be worth looking at, though their SIPP dealing charges may be in a bit of flux at the moment or soon.
Refund and cashback offers would help mitigate transfer fees.0 -
Am I missing some reason why you can't use the 12 free trades here? Investor offers "1 FREE (sic) trade per month". That would mean you pay £15.98 for 2 trades to take you up to 14 total, and brings your total to £255.86. For you this one could be a tiny win over the current £260.New Scheme [Investor]
£120 SIPP Fee
£119.88 Account Fee
11 Trades @ £7.99 each (3 are free, based on 90 days)0 -
Am I missing some reason why you can't use the 12 free trades here? Investor offers "1 FREE (sic) trade per month". That would mean you pay £15.98 for 2 trades to take you up to 14 total, and brings your total to £255.86. For you this one could be a tiny win over the current £260.
Free trades are only valid for 90 days. Currently trades do not expire.
[edit] just to make it clear. I rebalance my whole portfolio once a year. So in one month I will sell x7, then purchase x7. I'm not even sure how I would rebalance every two months to take advantage of the free trades.0 -
Thanks, but ... percentage based fees? From Fidelity:Depending on your holdings Fidelity might be worth looking at, ....
For anything above £103k this exceeds II's and iWeb's £360/year. My SIPP is a fair way above £100k. Also, I have a general distaste for percentage-based fees, and so prefer to use companies that do not levy them.For a Fidelity SIPP (and all our other products), if you've got less than £7,500 with us, we charge a flat-rate fee of £45 a year or 0.35% if you have a monthly regular savings plan of £50 or over. If the total value of your investments is between £7,500-£249,999.99, we charge a rate of 0.35% and 0.20% if it is over this. Fee’s are payable on investments up to £1million.0
This discussion has been closed.
Categories
- All Categories
- 343.1K Banking & Borrowing
- 250.1K Reduce Debt & Boost Income
- 449.6K Spending & Discounts
- 235.2K Work, Benefits & Business
- 607.8K Mortgages, Homes & Bills
- 173K Life & Family
- 247.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 15.9K Discuss & Feedback
- 15.1K Coronavirus Support Boards