Not-for-profit US heavyweight Vanguard has put the cat amongst the pinstriped pigeons with their recent UK launch. Low-cost. Simple. Just investments and ISAs today – no pension.
This low-cost service won’t offer research and shares, bells or whistles but it will manage your money in a decent portfolio, spread around lots of global investments which are picked and run for you, for just 0.37%.
You can only hold their investments – so you can’t access other fund managers or buy shares here.
Look for their LifeStrategy range and choose between the 5 options depending on how spicy you want to be. 10 years +? Look at 80% or 100% ‘equities’. Shorter timeframes and want something like cash but a little bit souped-up? 20% or 40% ‘equities’. Read their website for details.
Depends on the investment choices you make. In 2016 their LifeStrategy fund returns ranged from 10.4% to 26.1%.
"Easy to use, easy to understand, easy to participate. Investing at its most straightforward. The focus on low cost is clearly to the benefit of investors as its inspirational founder, Jack Bogle, envisioned (watch him speak on youtube). I have been able to directly compare Vanguard's platform and service to Fidelity's in which I also hold an Stocks and Shares ISA. They hold slightly different assets but my returns in Vanguard funds - compounded by low costs - definitely give them the edge. 'Boring' investing at its best!"
"Great on price and lots of hassle free options. Website isn't particularly slick and there aren't a range of exotic investment options but I would definitely recommend them to a first time investor."
"Seriously quick and easy to request 4 pension transfers and set up an ISA with regular payments. Clear investment choices, a website that's easy to navigate and great value for money."