AJ Bell vs Vanguard

AJ Bell is steadily building its brand and customer base, and is a very credible provider which supports both financial advisers and DIY investors. Their content is strong and the investment research is good. The app and site are decent, but can still feel a bit overwhelming for less confident investors or beginners. Their charges are typically at the mid to low end and offer fair value to customers.

Vanguard is not just popular in the UK but a massive global player, with an almost cult-like following from fans of its no-frills, low-cost, keep it simple mantra. They are best known for simple ‘ready-made’ funds which do all the heavy lifting for customers, typically using ‘tracker’ or ‘passive’ funds to serve up a cheap one-stop shop. Their charges will typically be amongst the lowest in the market.

I don’t think this decision will be made on trust or credibility – both do well here. I think AJ Bell is a better option for those who want some investment choice and to be in charge of calling some of the shots. Or maybe to start simple but to learn and gradually take a more active role in managing their investments or pensions.

And Vanguard is a fab choice for people who either can’t be bothered to keep up to speed with markets, and fine-tune their investments, or who haven’t got a clue where to start! If price is your number one thing, Vanguard will generally be cheaper.