I am looking to start buying Investment funds through an ISA and would like to be able to switch from fund to fund to ensure the best performance. Does anyone know the most effective way to do this without incurring the 3-5% fees each time, or is this even possible?
2006-10-01 05:27:44 · 3 answers · asked by Reesy 1 in Business & Finance ➔ Investing
There are two easy ways to do this.
Firstly, use a discount broker. Just search for their adverts in financial sections of papers or magazines or on a web search engine. They should discount part or all of the initial charge. They get their money from taking a cut of the annual charge you pay. You don't pay more, they just get a cut rather than it all going to the company running the fund.
Secondly, hold your funds in a fund supermarket, like Fundsnetwork. I believe they only charge 0.25% to switch between funds they offer on the network. Read details on their site. There are other fund supermarkets and I don't know which is best.
2006-10-01 06:01:14 · answer #1 · answered by jonline j 2 · 1⤊ 0⤋
It depends on the amount. Many places will do deals if you are prepared to haggle.
If you are investing hundreds of thousands, you can get them to significantly reduce the setup charge, as they will be making more than enough on the annual charge.
As you are investing in an ISA, your amont would be relatively small, and your bargaining power will be reduced. So I would say (in this instance) that you can't avoid the fees.
2006-10-01 12:35:38 · answer #2 · answered by Rich N 3 · 0⤊ 0⤋
I'll tell you ... but I will charge a fee to you. LOL
2006-10-01 12:36:50 · answer #3 · answered by insuranceguytx 5 · 0⤊ 0⤋