How to choose the best DIY investing platforms, Simon Lambert explains
This is Money Podcast
This is Money
4.4 • 735 Ratings
🗓️ 1 April 2015
⏱️ 3 minutes
🧾️ Download transcript
Summary
This is Money editor Simon Lambert on the best investing Isa platforms to suit different investors and what they cost
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Hosts: Georgie Frost, Simon Lambert, Lee Boyce, Helen Crane
Producer: Georgie Frost
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Transcript
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| 0:00.0 | In order to help people out, I think probably it would be helpful if I explained a little bit about what it could look like for different people. |
| 0:06.0 | So say, for example, you're a new investor who's only just starting out and you're going to be regularly investing, maybe into investment funds, which is one of the easiest ways to invest. |
| 0:16.0 | Then you want to probably be looking for a platform that charges you a percentage fee and doesn't charge you for buying or selling funds. |
| 0:23.8 | So some that do that are Hargreaves Landsdown, Fidelity, a smaller platform called R Plan, |
| 0:29.5 | which has got lots of helpful tools, and best invest. |
| 0:32.8 | If you've got a bit more money and you're moving further up the scale and you don't mind paying to buy |
| 0:39.8 | and sell funds, then you can start looking at ones that charge you a flat fee. So perhaps |
| 0:45.2 | you might want to go for something like the Share Centre, Alliance Trust or Interactive |
| 0:50.4 | Investor. And what's good about Interactive Invest investor is they'll charge you 20 pound a quarter, |
| 0:54.5 | but they then give you that back in free trades. So you could actually get most of that admin charge back. |
| 1:01.6 | Or you might want to look at something where if you're buying shares, you want to keep that share |
| 1:07.7 | dealing down to the lowest possible charge. So if you're buying shares regularly, you don't really want to necessarily paying 10 to 15 pounds to do so. |
| 1:15.6 | So look for something like perhaps AJ Bell U invest, which has cheaper share dealing, |
| 1:21.6 | Iweb, which has five pound share dealing. |
| 1:24.6 | And there's one called Club finance actually which charges a fairly |
| 1:28.2 | an admin fee of 0.24% which sounds quite low but it charges a minimum of 120 pounds a year |
| 1:34.6 | but you then get 2 pound 50 share dealing so if you want to build up a portfolio of say 20 shares |
| 1:40.4 | the difference between paying 2 pound 50 for doing that and paying £12, £15 for doing that, |
| 1:45.6 | is quite a lot. So it's, as I said, it's thinking about what sort of bracket you fit into. |
| 1:50.9 | And then there are other platforms that will do quite a bit of the work for you. There's one called |
| 1:54.7 | Nutmeg, where you put in your goals and it has a special tool that works out for you. And they |
| 1:59.7 | actually, it's like wealth management, they actually choose where to out for you. And they actually, it's like wealth management, |
... |
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