i started putting money into trading212, not having a clue i used an automatic pie and they put it in bonds etc and i didnt realise that some are actually terribly performing and not stable at all!. i would've left the money like this for months if not years if it wasn't for you. you have taught me a lot just in a short amount of time and i have now sold everything and decided to invest into the s&p 500. I lost £200 but its worth changing it now rather than later! ill add £16k into the s&p tomorrow. thank you so much!!! earned a subscriber 😁
Absolutely welcome, just don't think that I'm giving out financial advice 😅. It's all still a risk at the end of the day, but the S&P 500 had proven to be a great investment (so far). £200 might hurt now, but we all learn from our mistakes, and then it feels like nothing.
Great detailed video, Jubair 😊I don't bother with hedging, but I understand why you like it. The weakening pound has actually helped non-hedged ETFs outperform significantly in recent years. Who knows what will happen in the future though!
Thanks Tom! I only like it because I know I won't actually hold it long term anyway. I would go for a lower TER when holding long term like I do with my IE ISA, VWRL
Thanks Lara. If its outside of your ISA, you still have to pay dividend tax if you exceed the thresholds. I'm not sure how that is calculated though. If you're a beginner, not much to worry about at this stage, you'll have to be making over £500 just in dividends to have to pay tax. Hard to do with the S&P 500.
@larabaio3748 if you bought the Accumulation and not the Income version there won't be any dividends. Only a Capital Gains tax when and if you cash in by selling some or all of your holding. There's allowances and different % bands for that which depend on what tax bracket the rest of your income puts you in. It's all on the gov website.
Technically, you have to pay dividend tax, even on accumulating ETFs. Income reinvested in accumulation units is known as a 'notional distribution', and is taxable in exactly the same way as the income from income units.
Thanks for this video, this is really helpful. A quick question, if I select fund with p (GBX) in Trading212 do I need to pay exchange fee to get it in GBP?
Hey… thanks for the vid ! Is it right that if I want to auto invest monthly on T212 then there is a charge to do so. So I have to add cash and then manually invest. Is that what you’ve noticed also? Thanks
There are no fees for auto invest. The only way there would be a fee is if you paid via apple pay. Auto invest works via the pies. I haven't noticed any fees, although I manually invest my money.
@@Dr.JubairsFinance Pies / auto invest / payment methods.. I get the text “The following payment methods are free until you deposit £2,000 in total. 0.7% fee is applied thereafter.”
If it's set and forget, I'd go with global over the S&P 500. As for what provider, I'd rather go with a higher AUM, such as Vanguard or iShares. What are your thoughts on this?
Whilst past performance is not a guarantee of future gains, the key information document shows that the vanguard funds beat both the index and the ishares fund every year for the past 5 years. Along with a lower fee, I know where I’d be putting my money.
Hi Jubair. Thank you for such detailed content, really appreciate it. Still learning and a beginner here. Could you expand on how long term hold or short term hold play in mind could also be a variable in picking an index fund ETF? For long term hold would you say that S&P 500 mutual fund rather than an S&P 500 ETF is the better option? Thank you~
@@Dr.JubairsFinance Thanks Jubair. I learnt a lot from your videos as I am binge watching them. I think it would be cool if you put down timestamp for each of the tickers, for viewers who return to your videos for a certain information. what your thoughts on Invesco S&P 500 UCITS ETF GBP Hdg Acc LON: G500? The hedged ETF (G500) reduces the impact of currency fluctuations, providing more stability in GBP terms, while the non-hedged ETF (SPXP) is affected by both the market
Hi Jubair, what is the best ticker symbol to reinvest dividends for an ETF S&P500? What is the most popular? I realise you cant give advice on your channel lol
Ok beginner here i have a couple of questions 1-whats better if your interest in s&p 500 investing use trading 212 or vanguard for someone who is a beginner ? 2- whats the better option when picking a index fund etf and acc (is this dividends)? Thank you
You pay tax on any returns, even on index funds, after you exceed your personal allowances. I would ask an accountant for more information about this. Trading 212, does not take a cut of your profit, no.
Hey Jubair, hope you keeping well mate... just wondering why you did not include G500 (Ivesco S&P 500 Hedged) its cheaper, the TER I think .07%, please are you able to check this.. thanks
£62M assets under management, very small. I didn't have the time to go through everything to be fair. There are some good ones that I would have missed.
@@Dr.JubairsFinance Perfectly makes sense as you went for more reliable and bigger one.. thanks.. I just wanted to see what was your reason to go with iShsare :)
Vanguard S&P500 - would there be any difference in performance over long term if the dividends are reinvested back in using DIST, compared to ACC? Also, is there any fees when doing this using Trading 212 within the pie ?
Hello, I cannot find a straight answer to this question, it would be great if you can help: I understand the difference between ETFs and Index Funds (traded all day vs traded once per day) however, the the majority of videos demonstrating how to invest in an index fund, do so via an ETF. Why is this? Is it not possible to invest directly into an Index Fund from the UK? or if it is, why does everybody seem to use an ETF instead? It's hard to articulate the question clearly without a better understanding. But essentially, everyone seems to have a video explaining the difference between an ETF and an Index Fund, as if you can choosing to invest in one OR the other, but then everyone (in the UK) is investing in Index Funds that ARE(?) ETFs? Thanks for your help.
You can withdraw as you like, will take some time to settle and process the withdrawal. However, you should be able to buy and sell multiple times a month, even with the S&P 500
@@Dr.JubairsFinance thank you very much, i informed myself and i’m really unsure whether choose CSPX, SXR8 or VUSA. But im more unsure whether choose CSPX or SXR8 because i’d like to invest in long term
I'm based in the UK but i have a bank account in USD (via wise). Can i invest the USD directly into the SP500? And not have any exchange rate issues? If so which type of EFT do i use?
If you want to directly invest with USD, you should look for a provider that allows you to deposit in USD, unless you get paid in USD, this doesn't really make sense as there will be a foreign exchange fee somewhere
There are many types of ISA, they just mean a tax free account. The returns should be the same depending on the offering, but the main advantage is that everything will be tax free
Did you just start investing as 41k invested and a negative yield of £500 is not assuring when you are recomending stocks, I have been investing for 2 years in etfs, index and some bluechip stocks and I'm 41% up so what's the deal, I tend not to listen to someone who has a negative balance when a low volatility etf should conservatively give you 10% anual yield
I'm definitely not forcing anyone to listen to me, it's your life at the end of the day. Not recommending any stocks for anyone. And no, I did not start with 41k, every profit has been reinvested. There will always be fluctuations in the market in the short term.
Is 5-8 years considered as being long term when investing in the S&P 500 as I aim to be retired after this period? Basically, is 5-7 years still enough time in order to get a good profit turnaround from the initial/ongoing investment(s). Great video! Thanks
Based on history, You would want to invest for a longer period of time, but it is still possible that you would have a positive return during this shorter time period.
Join Trading 212 Invest with my link, and we will both get free shares:
www.trading212.com/promocodes/JUBAIR
i started putting money into trading212, not having a clue i used an automatic pie and they put it in bonds etc and i didnt realise that some are actually terribly performing and not stable at all!. i would've left the money like this for months if not years if it wasn't for you. you have taught me a lot just in a short amount of time and i have now sold everything and decided to invest into the s&p 500. I lost £200 but its worth changing it now rather than later! ill add £16k into the s&p tomorrow. thank you so much!!! earned a subscriber 😁
Absolutely welcome, just don't think that I'm giving out financial advice 😅. It's all still a risk at the end of the day, but the S&P 500 had proven to be a great investment (so far). £200 might hurt now, but we all learn from our mistakes, and then it feels like nothing.
UCITS means it complies with European financial regulations.
You should do a video on the difference and best choice of the T212 two isas for cash they have at 5.2%
Great detailed video, Jubair 😊I don't bother with hedging, but I understand why you like it. The weakening pound has actually helped non-hedged ETFs outperform significantly in recent years. Who knows what will happen in the future though!
Thanks Tom! I only like it because I know I won't actually hold it long term anyway. I would go for a lower TER when holding long term like I do with my IE ISA, VWRL
@@Dr.JubairsFinance Makes sense 👍
U helped me alot with this video. Thanks mate
You're so welcome!
Bro, i wonder if you can make a similar video about halal S&P index funds which we can use in trading 212
I used to hold the Vanguard S&P500 but have recently changed over to the SPDR S&P500 as they have lower fees
More power to you Peter!
Loved the video! Still very much a beginner - with the Vanguard S&P 500 (Acc) I won't be able to work out how much tax I need to eventually pay?
Thanks Lara. If its outside of your ISA, you still have to pay dividend tax if you exceed the thresholds. I'm not sure how that is calculated though. If you're a beginner, not much to worry about at this stage, you'll have to be making over £500 just in dividends to have to pay tax. Hard to do with the S&P 500.
@@Dr.JubairsFinance Great, thank you for the info!
@larabaio3748 if you bought the Accumulation and not the Income version there won't be any dividends. Only a Capital Gains tax when and if you cash in by selling some or all of your holding. There's allowances and different % bands for that which depend on what tax bracket the rest of your income puts you in. It's all on the gov website.
Technically, you have to pay dividend tax, even on accumulating ETFs.
Income reinvested in accumulation units is known as a 'notional distribution', and is taxable in exactly the same way as the income from income units.
If you open shares isa so up to 20 k you can invest each year and you dont pay tax on it am i right@@Dr.JubairsFinance
Amazing video, coming from someone who’s from the uk and looking to start investing long term in the s&p500. Appreciate it 🫡
Thank you so much for watching and commenting, I appreciate it!
@@Dr.JubairsFinance no worries at all, what is the best account for investing long term (10 year plus) invest, cfd, stocks isa or cash Isa ?
Thanks for this video, this is really helpful.
A quick question, if I select fund with p (GBX) in Trading212 do I need to pay exchange fee to get it in GBP?
P is penny sterling, so it's actually Pence, which 100p makes a pound, as you know
Sooooo the vanguard one is the best for uk investors ?
Not necessarily, there are a lot of options for UK investors, Vanguard is just the most popular
Just the video I was looking for. Thank you and keep up the good job.
Thanks a bunch, Jason!
Hey… thanks for the vid ! Is it right that if I want to auto invest monthly on T212 then there is a charge to do so. So I have to add cash and then manually invest. Is that what you’ve noticed also? Thanks
There are no fees for auto invest. The only way there would be a fee is if you paid via apple pay. Auto invest works via the pies. I haven't noticed any fees, although I manually invest my money.
@@Dr.JubairsFinance Pies / auto invest / payment methods.. I get the text “The following payment methods are free until you deposit £2,000 in total. 0.7% fee is applied thereafter.”
Would be very interested to hear your view on s&p vs global…. For example the invesco world fund, with lower fees than vanguard..
If it's set and forget, I'd go with global over the S&P 500. As for what provider, I'd rather go with a higher AUM, such as Vanguard or iShares. What are your thoughts on this?
Whilst past performance is not a guarantee of future gains, the key information document shows that the vanguard funds beat both the index and the ishares fund every year for the past 5 years. Along with a lower fee, I know where I’d be putting my money.
Interesting video, Jubair. I'm a SPXP holder myself... I wish I could tell you why 😀
Would be interesting to see a similar video based on global ETF's
Thanks David! Yes, that video is probably going to come out at some point 😀
Hi Jubair. Thank you for such detailed content, really appreciate it. Still learning and a beginner here. Could you expand on how long term hold or short term hold play in mind could also be a variable in picking an index fund ETF? For long term hold would you say that S&P 500 mutual fund rather than an S&P 500 ETF is the better option? Thank you~
It's actually pretty simple, if you want to hold short term, ETFs are just not at all suitable. You should look into something else.
@@Dr.JubairsFinance Thanks Jubair. I learnt a lot from your videos as I am binge watching them. I think it would be cool if you put down timestamp for each of the tickers, for viewers who return to your videos for a certain information. what your thoughts on Invesco S&P 500 UCITS ETF GBP Hdg Acc
LON: G500? The hedged ETF (G500) reduces the impact of currency fluctuations, providing more stability in GBP terms, while the non-hedged ETF (SPXP) is affected by both the market
Just what I was looking for!
You're welcome Hiba
Hi Jubair, what is the best ticker symbol to reinvest dividends for an ETF S&P500? What is the most popular? I realise you cant give advice on your channel lol
If it's Vanguard, I think the ticker code you're looking for might be the VUAG
@@Dr.JubairsFinance perfect, thank mate!
Ok beginner here i have a couple of questions 1-whats better if your interest in s&p 500 investing use trading 212 or vanguard for someone who is a beginner ? 2- whats the better option when picking a index fund etf and acc (is this dividends)? Thank you
I would say that acc makes it all simpler, probably best for most people. Outside of an ISA, acc might be harder to calculate the taxes on.
Thx for the video bro, great content
And thank you for watching!
Would you say it’s better to put all into the sp500, like I have a few different types of I share stocks should I merge all my funds into the sp500?
Can't really advise you on what to do here legally I'm afraid
hiya, beginner here.
do you pay tax on the returns of index funds like S&P 500? also, does trading212 take a cut of the profits?
You pay tax on any returns, even on index funds, after you exceed your personal allowances. I would ask an accountant for more information about this. Trading 212, does not take a cut of your profit, no.
Hey Jubair, hope you keeping well mate... just wondering why you did not include G500 (Ivesco S&P 500 Hedged) its cheaper, the TER I think .07%, please are you able to check this.. thanks
£62M assets under management, very small. I didn't have the time to go through everything to be fair. There are some good ones that I would have missed.
@@Dr.JubairsFinance Perfectly makes sense as you went for more reliable and bigger one.. thanks.. I just wanted to see what was your reason to go with iShsare :)
Vanguard S&P500 - would there be any difference in performance over long term if the dividends are reinvested back in using DIST, compared to ACC?
Also, is there any fees when doing this using Trading 212 within the pie ?
I reckon the differences between ACC and Dist in the long term will be very minimal. There are no fees for investing within pies on Trading 212
Why all of them are ETF? There is no direct index funds?
What do you mean?
There is a "HSBC American fund"
How can I do options & Futures trading with S & P 500 from the UK ?
Does trading 212 has options trading ?
Hey! Options and Futures are not the goal of this channel, I have no experience in them unfortunately.
Hello, I cannot find a straight answer to this question, it would be great if you can help: I understand the difference between ETFs and Index Funds (traded all day vs traded once per day) however, the the majority of videos demonstrating how to invest in an index fund, do so via an ETF. Why is this? Is it not possible to invest directly into an Index Fund from the UK? or if it is, why does everybody seem to use an ETF instead? It's hard to articulate the question clearly without a better understanding. But essentially, everyone seems to have a video explaining the difference between an ETF and an Index Fund, as if you can choosing to invest in one OR the other, but then everyone (in the UK) is investing in Index Funds that ARE(?) ETFs? Thanks for your help.
ETFs are the simplest way to buy index funds from the UK as you buy via the stock exchange
can we withdraw at any time and invest as many times in a single month in S&P 500?
You can withdraw as you like, will take some time to settle and process the withdrawal. However, you should be able to buy and sell multiple times a month, even with the S&P 500
do you suggest me to invest in the SP500 from london, therefore, in pounds? since im from italy (euro). otherwise how can i invest in sp500 with euro?
I don't suggest anything. But if you are in Italy, you should go with the Euro, as it will save you in fees.
@@Dr.JubairsFinance thank you very much, i informed myself and i’m really unsure whether choose CSPX, SXR8 or VUSA. But im more unsure whether choose CSPX or SXR8 because i’d like to invest in long term
That technology etf looks interesting if not a little overpriced atm
Difficult to gauge what the actual value is, but seems a bit overpriced if you ask me.
Why would you not go into $ or € shares as a UK citizen? Can someone explain this please 🙂
Because you'll pay 0.15% foreign exchange fee on your pounds
I'm based in the UK but i have a bank account in USD (via wise). Can i invest the USD directly into the SP500? And not have any exchange rate issues?
If so which type of EFT do i use?
If you want to directly invest with USD, you should look for a provider that allows you to deposit in USD, unless you get paid in USD, this doesn't really make sense as there will be a foreign exchange fee somewhere
Is it better to invest from an ISA? If so how does that work compared to just investing from cash in a bank account? TIA
There are many types of ISA, they just mean a tax free account. The returns should be the same depending on the offering, but the main advantage is that everything will be tax free
Man, I am honestly still trying to listen , and is so hard, use less words, more straight to the point. Thank you
Keep playback speed less and listen dude
@@kprlandtechnologies5641😂😂
😅😅😅
@@kprlandtechnologies5641and I’m here listening on 1.5x 😅
Thank you😊
You are so welcome
and id love you to do a video on physical gold i dont think you have one yet
Thanks for the suggestion!
Did you just start investing as 41k invested and a negative yield of £500 is not assuring when you are recomending stocks, I have been investing for 2 years in etfs, index and some bluechip stocks and I'm 41% up so what's the deal, I tend not to listen to someone who has a negative balance when a low volatility etf should conservatively give you 10% anual yield
I'm definitely not forcing anyone to listen to me, it's your life at the end of the day. Not recommending any stocks for anyone. And no, I did not start with 41k, every profit has been reinvested. There will always be fluctuations in the market in the short term.
brother could you please let me know which one is Halal?
He’s doing good
i live in africa , uganda ..is trading 212 a better option for me ?
Great
Is 5-8 years considered as being long term when investing in the S&P 500 as I aim to be retired after this period? Basically, is 5-7 years still enough time in order to get a good profit turnaround from the initial/ongoing investment(s). Great video! Thanks
Based on history, You would want to invest for a longer period of time, but it is still possible that you would have a positive return during this shorter time period.
Spxl
Is that 3x leverage?
I invested 5k yesterday into s&p500 and lost £300 in less than 24 hours 🤣 I hope it pays of long term !
If you're long term focused, you're almost certainly never going to care about this dip again
It will bro just keep faith
and yuo in - 500 :D
I am so confused haha
God, who can follow you, man? Make things simpler, please!
All you care about is getting free shares. Get to the point or i'll go watch videos elsewhere in better channel than yours.