Agreed. Yeah I reckon so, quite a few people on Instagram have already told me they’re moving to T212 to avoid paying the high platform fee when they’re just starting out
I read the little book of common sense investing earlier this year when i started my investment journey. My biggest takeaway from it was Bogle stressing the importance of low fees. I was feeling pretty confident using Vanguard but now it just seems to go against everything I learned😂
@@riorrico908 that’s honestly my favourite book on investing (other than my own book of course… 😂). But yeah you’re right, a fee increase is very un-Bogle like 🥲
Terrible timing for me. I have just set up a £600 monthly standing order to begin my long term investment journey on the Vanguard platform.. I might aswell course correct and begin my journey elsewhere. Very strange decision, especially considering their mobile app is still so poor.
@@jamesbailey1730 nightmare timing James, sorry to hear that mate. Yeah - agreed. Look into another platform like Trading 212. And yeah agree again, very strange business decision!
Well I'm about to go on maternity leave by January, already adjusted my monthly input to less money. But I'm clearly going to have close now. Thanks for this Ryan
Really annoying. I can only afford £150 a month and currently have just under 800 in there. My growth has seen me gain £48 which i've been over the moon with so far, but that would essentially be wiped out now.
@@Jardine_mama yeah that’s fair enough. What a nightmare! I’ve preached about them for years and they’re gonna lose a lot of customers after this fee increase 😭
To be fair, i dont mind the fees seeing as i used to trade on freetrade and they charge 5.99 p/m for the standard isa plan. i would feel more comfortable long term ( and hopefully having over 85k for FSCS insurance) having a bigger balance with vanguard than a smaller firm
That’s a very good point. They’re still cheap compared to Freetrade, but now even more expensive compared to the likes of T212 and Invest Engine. I agree with your view though. They’re still a great platform for long term passive investors, low fees for those with >£32k invested, the 2nd largest asset manager in the world so very safe and reputable, etc
Hey Ant, the managed ISA fee has gone down from 0.3% to 0.2%. But I imagine if you're using the target date retirement fund you're investing into that through a DIY/self managed ISA?
@ I’m not sure how to check if it’s one or the other to be honest - it’s not super clear in the documents. It’s an ISA and I’ve just selected the fund with automatic deposits. The fund itself is technically managed by Vanguard as it diversifies over time automatically - I don’t have any control over what stocks are bought within it.
@ I see what you mean. It could be worth giving them a call to confirm, but I believe you have a DIY/self managed ISA, so you would be impacted by the fee change
@ yeah perhaps - I think their managed ISAs are the ones that they select based on risk level. I guess the retirement fund is a fund I’ve chosen which makes it self managed. A real pain that I’m going to have to look for an alternative now, as the Vanguard target retirement has performed and worked out so well for me.
@@ant94 yeah that’s right. And yeah agreed - it is a pain. In my most recent TH-cam video I run through some options if you were going to switch, so hopefully that can help!
Can someone clarify? I’ve got loads of outstanding tax relief in my vanguard SIPP, ie it hasn’t arrived yet. If I move elsewhere, most likely invest engine, will that outstanding tax relief move to IE automatically or will it end up arriving in an empty Vanguard account weeks or months from now?
@@nigelhaworth1353 great question Nigel. I would say give Vanguard a call and ask. I would imagine that you would get the tax relief, and pay any fees owed to Vanguard, first and then the money would move over to IE. But worth confirming with them. Also - if you would like an IE referral link to get some extra £’s on sign up give me a shout. I can give you mine👌
Hi Nigel, I work with a platform provider and it is likely vanguard will have that sitting there as a residual payment (whatever there guidelines are on this I’m not aware of). For some providers it can be 3-6months before this is paid across but I think if the main tranche is sent across already you can give vanguard a call to request the residual follow ASAP!
Thanks Dylan. I’m sure Vangysrd would love to have a few hundred in tax relief sitting in an account for months on end that they could then charge £4 a month on for absolutely nothing!!!
@@stephc8036 I got a full video coming out on this tomorrow Steph, but you’d essentially need to move your money in Vanguard into a fund that T212 offers, then move the shares in that fund over to T212
Hey mate, great content as always. 😊 You mention you pay the fees through direct debit through your bank account as opposed to Vangaurd taking it directly from your investment. What is the benefit of your approach?
@@devmehta10 thanks mate! It just means that 1) I don’t need to manually add cash to my vanguard account and 2) Vanguard won’t sell any of my investments to pay their fees. And 3) it’s easy to track exactly how much I pay in fees as it’s coming out of my bank account
@@MakingMoneySimple you legend! Thanks for the clarification and that makes sense. I'll switch mine to a direct debit as well. I really appreciate the help. Thanks 🙏
I ll be leaving, won't make any sense for me to stay. Sad for a reputable business supposedly aiming lower fees. Let me know if anyone knows any limitation of re opening an account after closing it with them.
I think I will transfer an old (poorly performing conservatively invested) workplace pension into my Vanguard SIPP. If the fee is fixed it makes sense to only pay one fee right?
@@dan44zzt231 the closer you get to £32k the smaller the relative % fee becomes (if that makes sense). So by increasing your portfolio value, you’ll pay a lower % fee
I have vanguard isa and sipp. £22000 invested overall. If I set up a direct debit now for fees will that direct debit still stay in place when the changes occur?
Nice one - at that level the marginal fee increase as a result of this change isn’t too much luckily. That’s a good question - yes I believe so. Then the fee, whether £4pm or 0.15%, will come out directly of your bank account
Could you simply offset this and not have to think too much about it by increasing your monthly investment by more than £4? Honestly I'm annoyed about this but it took a lot of research and discussion with an investor friend for me to feel comfortable joining Vanguard 8 months ago, I dont have the time or energy to research ALL of their competitors.
@@0saintclark0 even by doing that, you’d still pay quite a high relative % fee. Particularly if you have £10k or less on the platform (as I go through in the video). You could stick with vanguard, and just suck up the higher fee for a bit. It’s still a good platform. But the smaller your pot, the higher % the relative fee will be. I’ll be releasing a video on who to switch to soon - I’d say trading 212 or invest engine are the best shouts.
@@Alex-xt2gn hey mate, they’re both good choices. I got a full video coming out tomorrow on them. They’re both 0% platform fees, so same fees. So use whichever platform you prefer I’d say
What would you do if you planned to invest in the FTSE Global All Cap on Vanguard but are now going to switch to Trade212 who don’t have that fund? do i go for FTSE All World ?
Time to use Dodl for my yearly transfer to iweb Whats your opinion on using their funds? I think im going to sell out of Vanguard funds as its left a sour taste in my mouth
@@RetroShotv1 is that your approach, invest using DODL then move the shares to iWeb once a year? I’m going to continue using Vanguard funds in all honesty. But that’s just my preference.
@@MakingMoneySimple I was using vanguard to do it as they did not have a minimum fee. It's no big deal for me as I've been using Dodl for my LISA and recently switched a NEST pension over. Lloyds group (iweb) have recently announced their new SIPP offerings which may also be great for higher values once they announce theirs. Tbh if people are moving out of vanguard there are cheaper funds by ishares. In all honesty the fee increase goes against Vanguard's ethos. I'm surprised so many are willing to stick with their funds. Although I guess they already knew this would happen. Vanguard trust for me has been broken.
Thanks for watching the video! What do you make of this change? Will you be switching platforms? Or are you unaffected and will continue to use Vanguard? 🤔
I'm not at £32k but not too far off, so doesn't make sense to move. What annoys me is the subject line in the email they sent - "Upcoming changes to our terms and conditions". I ignored it to start with because thought it would be nothing. Only when I saw on Insta people talking about it, I realised it was an important email. Really naughty.
@@ianh182 that’s good to hear Iain 💪 And yeah that’s actually a great point. I didn’t even realise that. There were some other changes in the email, but you’re right that that is a sneaky/naughty way to do it…
@@MakingMoneySimple I second this! Also following from a question further above, if we transfer all to another platform eg 212, but leave Vanguard account open will we get charged? i.e. would you have to delete the account to not get charged? and the 30+ day for the ISA transfer tot take place might actually eat into the Jan' 31st deadline they have after which they charge... (assuming one does the transfer to 212 now)
@MakingMoneySimple I'm thinking about it ya know, 48 quid a year, I make that roughly every 2 months atm, so I mean... if I double what I have in theory,, that's a month earnings, in 10 years that 48 even if 100 will be nothing. Thanks 😊
@@DameAndThatGame nice one - and as you get more invested on the platform, the relative % of that £48 will make up a smaller and smaller % fee of your total portfolio 👌
@@The_Unintelligent_Speculator yeah the absolute £48p/y fee isn’t massive. But on a small pot the % fee can become really high. Fortunately I’m unaffected so will continue to invest and hold 🤝
@@fh23890 nice one, good luck with it 🙏 If you want a free share (and I’ll get one too!) use this link: www.trading212.com/invite/Fg39FgeY Have a great weekend
Love Vanguard and staying. We talk about our financial future here- i want it with a company which is profitable, has great customer service and amazing foundations plus who doesn’t love Jack Bogle ?
Love it - thanks for sharing your thoughts. I’m a massive fan of Bogle, the 🐐. And fortunately I’m above 32k so I’ll be unaffected. I’ll be staying with them too!
@@MatthewMills. I don’t know if it’s greed, as Vanguard are owned by their funds. They’re not a listed company like some other platforms. Apparently it’s to cover increased costs, maybe because of their new app? Who knows. But it’s certainly not ideal!
Nah - you shouldn’t be bothered. Your marginal fee increase will be 0.01% as a result of this 😅 And once you get to £32k you’ll be completely not impacted
It was the go to for new investors. It’s so strange. I bet a high percentage of people start off with them that will now go to 212
Agreed. Yeah I reckon so, quite a few people on Instagram have already told me they’re moving to T212 to avoid paying the high platform fee when they’re just starting out
I'm unaffected but this is a kick in the teeth for small investors who can only afford to invest a few ££. Bogle is spinning in his grave.
Agreed.
I have about 4.5k in my Vanguard ISA, and £100 in my Sipp so will be hit a lot annoyingly,- do you have a recommendations to move my ISA and SIPP to?
@@DrFod agree with all of this! Thanks for commenting 🙌
@@benmckenziefilms nightmare, sorry mate. I believe Invest Engine offer both, so that could be a shout
Hopefully youre not a real doctor, otherwise the champagne socialist echos well for you
I read the little book of common sense investing earlier this year when i started my investment journey. My biggest takeaway from it was Bogle stressing the importance of low fees. I was feeling pretty confident using Vanguard but now it just seems to go against everything I learned😂
@@riorrico908 that’s honestly my favourite book on investing (other than my own book of course… 😂). But yeah you’re right, a fee increase is very un-Bogle like 🥲
Appreciate this video making it simpler to understand and the breakdown. Thank you.
@@zxyxzy0 no problem. Thanks for watching it!
Terrible timing for me. I have just set up a £600 monthly standing order to begin my long term investment journey on the Vanguard platform.. I might aswell course correct and begin my journey elsewhere. Very strange decision, especially considering their mobile app is still so poor.
@@jamesbailey1730 nightmare timing James, sorry to hear that mate. Yeah - agreed. Look into another platform like Trading 212. And yeah agree again, very strange business decision!
Well I'm about to go on maternity leave by January, already adjusted my monthly input to less money. But I'm clearly going to have close now. Thanks for this Ryan
@@maemarcus5659 that’s a nightmare - sorry to hear that. It really depends on your total Vanguard portfolio value, but if it’s
Really annoying. I can only afford £150 a month and currently have just under 800 in there. My growth has seen me gain £48 which i've been over the moon with so far, but that would essentially be wiped out now.
@@0saintclark0 yeah, nightmare. At 800 quid you’ll be paying a whack in fees. So you’d probably need to switch unfortunately 🥲
I will be switching, which is a shame as I’m a huge vanguard advocate, but it doesn’t make sense to stay. At least the junior ISA isn’t affected!
@@Jardine_mama yeah that’s fair enough. What a nightmare! I’ve preached about them for years and they’re gonna lose a lot of customers after this fee increase 😭
To be fair, i dont mind the fees seeing as i used to trade on freetrade and they charge 5.99 p/m for the standard isa plan. i would feel more comfortable long term ( and hopefully having over 85k for FSCS insurance) having a bigger balance with vanguard than a smaller firm
That’s a very good point. They’re still cheap compared to Freetrade, but now even more expensive compared to the likes of T212 and Invest Engine.
I agree with your view though. They’re still a great platform for long term passive investors, low fees for those with >£32k invested, the 2nd largest asset manager in the world so very safe and reputable, etc
The fee for a managed account goes down - does this mean if you have invested in their target retirement fund then the £4 fee isn’t relevant?
Hey Ant, the managed ISA fee has gone down from 0.3% to 0.2%. But I imagine if you're using the target date retirement fund you're investing into that through a DIY/self managed ISA?
@ I’m not sure how to check if it’s one or the other to be honest - it’s not super clear in the documents. It’s an ISA and I’ve just selected the fund with automatic deposits. The fund itself is technically managed by Vanguard as it diversifies over time automatically - I don’t have any control over what stocks are bought within it.
@ I see what you mean. It could be worth giving them a call to confirm, but I believe you have a DIY/self managed ISA, so you would be impacted by the fee change
@ yeah perhaps - I think their managed ISAs are the ones that they select based on risk level. I guess the retirement fund is a fund I’ve chosen which makes it self managed. A real pain that I’m going to have to look for an alternative now, as the Vanguard target retirement has performed and worked out so well for me.
@@ant94 yeah that’s right. And yeah agreed - it is a pain. In my most recent TH-cam video I run through some options if you were going to switch, so hopefully that can help!
Can someone clarify? I’ve got loads of outstanding tax relief in my vanguard SIPP, ie it hasn’t arrived yet. If I move elsewhere, most likely invest engine, will that outstanding tax relief move to IE automatically or will it end up arriving in an empty Vanguard account weeks or months from now?
@@nigelhaworth1353 great question Nigel. I would say give Vanguard a call and ask. I would imagine that you would get the tax relief, and pay any fees owed to Vanguard, first and then the money would move over to IE. But worth confirming with them.
Also - if you would like an IE referral link to get some extra £’s on sign up give me a shout. I can give you mine👌
Hi Nigel, I work with a platform provider and it is likely vanguard will have that sitting there as a residual payment (whatever there guidelines are on this I’m not aware of). For some providers it can be 3-6months before this is paid across but I think if the main tranche is sent across already you can give vanguard a call to request the residual follow ASAP!
Thanks Dylan. I’m sure Vangysrd would love to have a few hundred in tax relief sitting in an account for months on end that they could then charge £4 a month on for absolutely nothing!!!
@@DylanEvans-qv1fh Cheers Dylan!
My fund I currently have in VG doesn't have an equivalent in T212, which I'd like to move to. Does that mean I have to sell first?
@@stephc8036 I got a full video coming out on this tomorrow Steph, but you’d essentially need to move your money in Vanguard into a fund that T212 offers, then move the shares in that fund over to T212
What if I sell/withdraw all my personal investments, but leave the account open as I have 2 junior ISAs? Will they charge me £4?
@@LA_nyx nah they won’t! The JISAs are not impacted by this change luckily
Are T212 going to hike their prices up on VOO for investors under 32k? Since T212 get ETFs from vanguards SP590 tracking
@@Jbonn6141 nah - as far as I’m aware 1) t212 aren’t increasing their fees and 2) vanguard aren’t increasing their fund fees
Ill be switching. Its the principle. And putting off younger investors.
@@StefsTH-cam yeah it really harms those investors who are just starting out 🥲
@MakingMoneySimple I've been with them for sometime. Moving to Hargreaves
@ yeah I’ve been with them for 6+ years myself. HL are pretty high fee though - just in case you didn’t know!
Hey mate, great content as always. 😊
You mention you pay the fees through direct debit through your bank account as opposed to Vangaurd taking it directly from your investment. What is the benefit of your approach?
@@devmehta10 thanks mate!
It just means that 1) I don’t need to manually add cash to my vanguard account and 2) Vanguard won’t sell any of my investments to pay their fees. And 3) it’s easy to track exactly how much I pay in fees as it’s coming out of my bank account
@@MakingMoneySimple you legend! Thanks for the clarification and that makes sense. I'll switch mine to a direct debit as well. I really appreciate the help. Thanks 🙏
@ no problem at all! Sounds good 👌
Does this only apply to UK?
@@marcosc9799 yeah, UK only
I ll be leaving, won't make any sense for me to stay. Sad for a reputable business supposedly aiming lower fees.
Let me know if anyone knows any limitation of re opening an account after closing it with them.
@@andibk2853 that’s sad to hear, but understandable. There shouldn’t be any limitation in moving back one day!
I think I will transfer an old (poorly performing conservatively invested) workplace pension into my Vanguard SIPP. If the fee is fixed it makes sense to only pay one fee right?
@@dan44zzt231 the closer you get to £32k the smaller the relative % fee becomes (if that makes sense). So by increasing your portfolio value, you’ll pay a lower % fee
I have vanguard isa and sipp. £22000 invested overall. If I set up a direct debit now for fees will that direct debit still stay in place when the changes occur?
Nice one - at that level the marginal fee increase as a result of this change isn’t too much luckily.
That’s a good question - yes I believe so. Then the fee, whether £4pm or 0.15%, will come out directly of your bank account
Thanks for the video to clarify total invested does this mean initial invested? or with profits invested?
@@diydetail8916 this means the total amount you’re holding on the platform. So your own contributions + any gains you’ve made
Could you simply offset this and not have to think too much about it by increasing your monthly investment by more than £4? Honestly I'm annoyed about this but it took a lot of research and discussion with an investor friend for me to feel comfortable joining Vanguard 8 months ago, I dont have the time or energy to research ALL of their competitors.
@@0saintclark0 even by doing that, you’d still pay quite a high relative % fee. Particularly if you have £10k or less on the platform (as I go through in the video).
You could stick with vanguard, and just suck up the higher fee for a bit. It’s still a good platform. But the smaller your pot, the higher % the relative fee will be.
I’ll be releasing a video on who to switch to soon - I’d say trading 212 or invest engine are the best shouts.
Hey, does this just mean the amount invested, or does it take the returns made into account?
@@joenaylor7329 it means the total amount invested. Across your ISA, SIPP, GIA
Hi mate T212 or invest engine? I cant find the difference for fees. I have t121 for normal stocks and just created an invest enginer account.
@@Alex-xt2gn hey mate, they’re both good choices. I got a full video coming out tomorrow on them. They’re both 0% platform fees, so same fees. So use whichever platform you prefer I’d say
What would you do if you planned to invest in the FTSE Global All Cap on Vanguard but are now going to switch to Trade212 who don’t have that fund? do i go for FTSE All World ?
@@ctbradish yeah I’d say so, that’s your best bet as that’s a very similar fund 🙌
Hi - have you heard of Prosper savings ?
@@Itsmejabs I haven’t, no. Who are they and what do they do?
Do you have a recommendation for where to move my small ISA and SIPP to? about £4.6k total :(
@@benmckenziefilms unfortunately T212 don’t offer a SIPP, so invest engine is probably your best bet
Time to use Dodl for my yearly transfer to iweb
Whats your opinion on using their funds? I think im going to sell out of Vanguard funds as its left a sour taste in my mouth
@@RetroShotv1 is that your approach, invest using DODL then move the shares to iWeb once a year?
I’m going to continue using Vanguard funds in all honesty. But that’s just my preference.
@@MakingMoneySimple I was using vanguard to do it as they did not have a minimum fee. It's no big deal for me as I've been using Dodl for my LISA and recently switched a NEST pension over.
Lloyds group (iweb) have recently announced their new SIPP offerings which may also be great for higher values once they announce theirs.
Tbh if people are moving out of vanguard there are cheaper funds by ishares. In all honesty the fee increase goes against Vanguard's ethos. I'm surprised so many are willing to stick with their funds. Although I guess they already knew this would happen. Vanguard trust for me has been broken.
Thanks for watching the video! What do you make of this change? Will you be switching platforms? Or are you unaffected and will continue to use Vanguard? 🤔
I'm not at £32k but not too far off, so doesn't make sense to move. What annoys me is the subject line in the email they sent - "Upcoming changes to our terms and conditions". I ignored it to start with because thought it would be nothing. Only when I saw on Insta people talking about it, I realised it was an important email. Really naughty.
@@ianh182 that’s good to hear Iain 💪
And yeah that’s actually a great point. I didn’t even realise that. There were some other changes in the email, but you’re right that that is a sneaky/naughty way to do it…
Hi would you be able to do a video on how to switch to Trading 212?
@@jacqueline25 hey, you’ll need to create a T212 account, then go to the menu, find ‘portfolio transfers’ then switch!
@@jacqueline25 I haven’t got a video up on this, but if not you should hopefully be able to find out!
@@MakingMoneySimple thanks! I’ll follow these steps. When switching to other platforms will it eat into the 20K allowance all over again?
@ if you switch/transfer, it won’t use up any of your current year ISA allowance
@@MakingMoneySimple I second this! Also following from a question further above, if we transfer all to another platform eg 212, but leave Vanguard account open will we get charged? i.e. would you have to delete the account to not get charged? and the 30+ day for the ISA transfer tot take place might actually eat into the Jan' 31st deadline they have after which they charge... (assuming one does the transfer to 212 now)
I got the email yesterday and was going to message you about it but you’ve beat me to it 😂
Read your mind 🤣 hope the video helps to explain everything clearly!
I’ve started the transfer to trading 212
@@chelsyholland790 nice one Chelsy! If you would like a referral link / code to get a free share let me know, I have one 🙏
Oh In thought it was £4+0.15% for all investors
@@mrlolmaster1019 nah - it’s one or the other!
£32k invested = 0.15%
I thought that too. Wasn’t well explained by VG
sad news but i guess it was to be expected, but staying put for now
I didn’t expect it at all tbh! But yeah it’s a shame. I’m also staying put 🙏
Took me years to finnaly bite the bullet and invest, waste of time now, effort and money now
@@DameAndThatGame nah not at all mate, don’t think like that! You can always switch to a cheaper platform and carry on investing 🙏
@MakingMoneySimple thanks for the words man, juts spent so long and was comfortable with vanguard. Cheers bud
@ all good! I mean you can still use them, if you’re happy to pay the 4 quid per month
@MakingMoneySimple I'm thinking about it ya know, 48 quid a year, I make that roughly every 2 months atm, so I mean... if I double what I have in theory,, that's a month earnings, in 10 years that 48 even if 100 will be nothing. Thanks 😊
@@DameAndThatGame nice one - and as you get more invested on the platform, the relative % of that £48 will make up a smaller and smaller % fee of your total portfolio 👌
Pay your fee to stay in the long term wealth club. Imminent growth inbound for 2025.
@@The_Unintelligent_Speculator yeah the absolute £48p/y fee isn’t massive. But on a small pot the % fee can become really high. Fortunately I’m unaffected so will continue to invest and hold 🤝
Im moving to trading 212
@@fh23890 nice one, good luck with it 🙏
If you want a free share (and I’ll get one too!) use this link: www.trading212.com/invite/Fg39FgeY
Have a great weekend
I’ve used this link too 😊
@@emzbubble13 thank you very much 🙌
Think on the bright side, at least we might get rid of those ridiculous amateur Vanguard youtubers.
@@Sabhail_ar_Alba assume I’m not included in that hopefully…? 😉 😂
This is crap! I’m unaffected but I know new people would be put off!
@@sunnydhap definitely. It’s a shame, and doesn’t seem like a good business decision long term to deter new investors 🥲
Love Vanguard and staying. We talk about our financial future here- i want it with a company which is profitable, has great customer service and amazing foundations plus who doesn’t love Jack Bogle ?
Love it - thanks for sharing your thoughts. I’m a massive fan of Bogle, the 🐐. And fortunately I’m above 32k so I’ll be unaffected. I’ll be staying with them too!
"In investing, you get what you don't pay for. Costs matter!" Jack Bogle
They are more than profitable already, this just reeks of greed sadly.
@@ovidiusava4149 wouldn’t have happened if Bogle was still around 😅
@@MatthewMills. I don’t know if it’s greed, as Vanguard are owned by their funds. They’re not a listed company like some other platforms. Apparently it’s to cover increased costs, maybe because of their new app? Who knows. But it’s certainly not ideal!
I'm unaffected and I'll be staying put I've honestly no complaints with vanguard.
@@pip1723 nice one. That’s great to hear! I’m in a similar boat to you fortunately 🙏
With £31k invested, should I even be bothered?
No.
Nah - you shouldn’t be bothered. Your marginal fee increase will be 0.01% as a result of this 😅
And once you get to £32k you’ll be completely not impacted
@MakingMoneySimple thank you for taking the time. I'll be watching more of your videos in future 😊