The Best Stocks and Shares ISA 2024 - Choose the Right One
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- Опубликовано: 30 июн 2024
- Get the Best Stocks & Shares ISA Spreadsheet here: course.tobynewbatt.com/best-s...
Investing platform links from this video:
1. InvestEngine - Get up to £50 once you deposit £100 with a new account and up to £2,500 ISA transfer bonus
investengine.pxf.io/x9YoO1
2. Trading 212 - Get a free share worth up to £100 and a 1% ISA transfer match - use code TOBY
www.trading212.com/promocodes...
3. Vanguard UK - where I hold my SIPP and an old ISA
bit.ly/Vanguard-Toby
4. Hargreaves Lansdown - Free Junior ISA/ Biggest Platform in the UK
bit.ly/HL-Toby
5. Freetrade - Free shares and Offers available for transfers
bit.ly/Toby-Freetrade
6. AJ Bell - Another option for a premium broker/ cheaper than HL on most things
bit.ly/AJBell-Toby
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Disclaimer: This video is provided for information and entertainment purposes only. Please seek the help of a qualified regulated financial professional for any advice. Capital is at risk. Some links are affiliates and I will earn a commission from using them.
InvestEngine (UK) Limited is Authorised and Regulated by the Financial Conduct Authority (FRN: 801128)
Timestamps:
0:00 - Bonus and welcome
0:47 - Important Rule changes on ISAs this Tax year
1:40 - FCA regulations - and Disclaimer - IMPORTANT
2:30 - InvestEngine
6:51 - Trading212
11:29 - Vanguard
14:55 - Hargreaves Lansdown
18:42 - Freetrade
21:15 - AJ Bell
23:56 - Who am I using?
NOTE 1: Don't forget that you will need to confirm your email to receive my spreadsheet - let me know if you have any issues. But you will get 2 emails in total :)
NOTE 2: Trading 212 offers 1% cashback on all NEW money in to your ISA not just transfers for new customers. Check the terms and conditions :). In the video I said transfers and missed out new money!!
Cheers☺️
Great Video Toby . Thank you again.
Where is the link please? And the link for invest engine please
@@cecilianjire2365 everything is in the description
Very helpful video mate. Everything well covered for people wanting to start. Invest Engine again for me this year.
Another very useful and well researched video Toby. We really value your honesty and integrity. Keep up the good work 😀
Very helpful thank you very much for this and the spreadsheet.
Bloomin’eck! This is just what I was looking for! Many Thanks😊
welcome thank you hope it helps people out :)
Great video as always Toby. Keep up the good work, you are providing so much to help us all 👍
only possible with the great support thank you
I’m surprised interactive investor was left off again! I watched Damien last night and your video this morning 😀
I was thinking the same thing - one of the biggest brokers but not commented upon?
They should be with that sneaky 1.5% FX fee. That's 10 times more than T212, 10 times!
ii probably don't offer affiliate rewards.
I have mentioned Interactive Investor to Toby before pointing out you get a free trade with the £10 per month flat fee which if you use the trade means you only pay a £36 annual Fee. The Fee remains the same whether you have £100, or 5 million pounds and so works well for people with high net worth.
Great video, mate -- extremely helpful! Will you do a similar thing for best SIPP provider?
I do need to get around to that as well...my video list is growing ever longer :P
Wow nice and early post there Toby. Just opened a Zopa ISA so taking advantage of the flexible nature of multiple isa's
FREEEEEDOM!!! Ha so good isnt it finally some good changes :)
@@TobyNewbatt about time eh :)
Great overview, Toby - wouldn't expect anything less. Very excited to have an ISA on both T212 and IE :)
What a time to be alive Tom! My thoughts exactly, I want to use the providers for their strengths and have some separation for my own mental sanity! :)
Is T212 safe??? They're not covered by the FCA anymore, and I can't find if they're covered by the fscs
@BillY-tw8xc hi Billy - Trading 212 are definitely authorised and regulated by the FCA. Cash up to 85k is also covered by the FSCS and you assets are ringfenced.
So, overall, I consider them very safe 👍
@@TomsPersonalFinance great, thanks for the response. However, looking on the FCA website, it said that Trading 212 Ltd has applied to cancel it's authorization. But they must still meet the FCA standards when dealing with customers. FSCS I'm still looking online. I just want to make sure I see that safety net with my own eyes before investing. Cheers!
@@TomsPersonalFinance thanks for your response. Ref number 569256. This firm has applied to cancel its authorisation but must still meet our standards in dealing with its customers. Check with the firm how this affects your business with them.
That's the response on the FCA website!
Still looking how to find the FSCS details.
Just want to make sure I'm protected and see it with my own eyes. Cheers!
Such a well-produced and helpful video thanks Toby, Subscribed!!! Respect the integrity aswell for not just promoting sponsors.
Thanks Sam I really appreciate it. I hope it helps 🙏🙏🙏
Thanks mate. I use T212 for my individual stock picks but I like some of the etfs on Vanguard. Im happy we can now invest in different brokers with our ISA. 😀
wooohhhooooo :P
Why not use T212 for the Vanguard ETFs? Exact same funds, but without the 0.15% Vanguard platform fee!
I have opened a T212 account for this year and i will turn the drip on my HL isa and just add new money into t212.😊 . Will be buying individual stocks and 1 etf this year as the footsie 350 is supposed to outperform 😊 lets see😊
Great vid mate. Ta
Thanks for yet another great video Toby! Would it be possible to please cover the best LISAs for the new tax year? Many thanks in advance!
ISA transfer from Vanguard to Invest Engine is looking very tempting.
Nice one Toby, cheers. 👍
Thanks 👍
Cheers Toby and thanks for the content. I've taken advantage of this years ISA allowance and went with Trading 212 platform with a S&S ISA with a Vanguard S&P 500. After I opened the account I was rewarded with some free Rolls Royse shares in the S&S ISA and also a nice chunk of free money into the invest platform of Trading 212 account - lets hope the market is kind over the next year, cheers Nick
Fantastic video so informative Toby.
Thinking of dipping into invest engine and trading 212 next. Another good video.
Now you can give it a go mate if you want to. Like I said I use both platforms and i think its a great time to start investing now considering you aren't locked in to any platform for a year!
Makes sense to keep only minimum amount in your bank account and transfer rest into IE or T212 to earn decent interest on any uninvested cash.
Hello again Toby! 😁
Oh hi
Great video to kick off new year, thanks Toby! Are there any other Junior S&S ISA, aside from HL, that are worth considering right now? Thanks
I think Fidelity was another low cost one? But hard to beat HL as a free junior ISA ☺️
Great video 😊
Thanks as always Paul! You're one of the OG's :-)
@@TobyNewbatt 😇
I'll be sticking with vanguard 👍.
Hi Toby excellent content. Could you a video on SIPP fees
Thanks I need to get a good SIPP video done at some point!
❤❤ Fabulous video ❤❤❤🎉
Thanks 🤗
Thanks for the summary, really valuable. I’m going to open an investengine with your link, enjoy the referral bonus 😊
thank you!
Great overview, thank you!
When your SIPP reaches £250k, so meaning it hits the fee cap for Vanguard, would you move your ISA (aside from individual shares) back over to Vanguard? If not, why not?
Good question! I'll probably still have multiple platforms, at the end of the day IE is free completely and there's a huge selection of funds (even though I only use Vanguard ones!). I like the rebalancing features too, easy to use etc. and I enjoy having multiple pots and trying new platforms (part of my job as I see it!). But good question on that note!
Another great video Toby. When are you going to do one on investing Ltd Company profits?
It's on the list :)
Absolutely perfect timing Tony. Great info. Clear unbiased and objective as always. I will be opening ISAs and following your links. I'm also going to highlight this video to my daughter to encourage her to get started . She's in her first professional role after qualifying. This info will be invaluable. Thanks and keep them coming !!👍
grateful for the support thank you! Thank you for sharing :)
Great Vid Toby! thank you for the Valuable info! So if you have VUSA (which doesn't automatically re-invest like VUAG), where can you see in your account the dividends paid into (sorry newbie :) ) so can reinvest ? sorry to have troubled Cheers
It should be in your cash section. It’s easy to get it invested. Alternatively maybe you should switch to VUAG if you don’t want dividends 👍
Thank you Very much, really appreciate it 🙏🏽😊 your vid is again absolutely useful 🤠
Hi Toby, thank you very much for your videos and the info you share in them! They are really useful and educating. I’m quite new in investing and I would like to ask you if you open different S&S ISAs or also a SIPP how do you manage the investments? I mean, how do you organise the investments so they don’t overlay? I was thinking about investing in an all world fund through a S&S ISA (I still not sure about the platform, I was thinking Vanguard or T212) but if I also want to open a SIPP (or another S&S ISA), does it make sense to invest in the same type of fund? Could you share some insights to have different and complementary accounts? Many thanks!
Currently have a Dodl account it’s nice but you can only buy/sell shares at a certain point in the day. Am thinking of trying others do they all allow buy/sell when you want, and are they all flexible ISAs ?
Brilliant video as always, I’ve been using a Halifax S&S isa with a monthly standing order into the VUAG & VWRL indexes and only get an annual fee of I think about £30, with I think trading fees dropped now. with it all setup it’s tough to spend time working out how to move it all to another platform
Any thoughts? Sorry to be a dinosaur !
whats most important is to just do whats right for you. But saying that, I have moved my investments multiple times now and it's been very easy. All you do is action it from your new provider and everything else gets taken care of. It does take a week or two to go through, so there is always some time out of the market.
Maybe its worth a video soon to help people.
Thank you for your comprehensive video - very useful
How do ISA transfers work ? I have predominantly invested in Indian markets( like Jupiter India etc in HL, but wish to transfer them to trading 212 but cannot find those kinds of funds so not sure what happens to those investments? Will trading 212 provide alternative options ?
So funds like Jupiter India etc are mutual funds - which means they are not found on the stock market and they only are found on platforms like HL, AJ Bell etc.
However there are plenty of India ETFs that you can find on platforms like T212. You just need to do the research and find them. Trading 212 don't offer mutual funds, they offer shares and ETFs. ETFs are overtaking mutual funds as the most popular way to go, maybe a future video for me :)
I notice you don't mention Providers such as individual banks like HSBC or NatWest. Is there any reason to use a specialised company like those you mention over your regular bank, if the ETFs are the same and the fees are similar?
Great vid - quick point.. T212 doesn't protect deposit under the 85k protection when your deposits are invested by T212 into money markets.. It's something they choose on your deposit
Correct as I said in the video - if you opt into the 5.2% interest, your cash then gets invested or held in banks. If it is invested in QMMF's then it counts as an investment and NOT cash. HOWEVER, cash is protected on their platform, we need to be very clear about this :)
@@TobyNewbatt that's right as soon as it's held in their bank as cash then it's protected. It'll be interesting to know their criteria for investing into qmm..
I buy funds without ETF name in JISA account because if it is ETF you can buy fractional shares. Just because there is no fee for JISA in HL, funds without “ETF” on the name, you can buy however you want.
Hi Toby, I’m interested in using invest engine instead of vanguard this year. Are we allowed to buy fractional shares still? I remember this being an issue sometime last year and not sure if anything came of it
ii don’t do fractional share dealing.
Thanks for the video. Why is IG index not among the list?
The same reason why about 20 others arent. There are better options out there for beginners :)
Petition for Toby and Damien to work together…
Maybe one day you will have your wish.. :P
I echo that.. Best one's in the Market
Be good to see a similar vid on SIPP. Do Interactive brokers now do a SIPP 🤔
I do need to get around to a SIPP video yep! And a more in depth one too. Hopefully on the way once we get the new FY out the way. I want to get a few good other vids out first :)
Thank you ! But what would you recommend for those that do not plan to retire in the UK - would you still recommend to open an iSA account? Is it still worth it with regards to tax fees and transfer fees - are capital gains are not taxed in a ISA in the UK- right;
I think you would need to look at the country you plan to live in as to how they might act in regards to the ISA.
Great videos as usual. I see you dont mention fidelity. Any reason? Thanks
There's just better choice IMO. Trading 212 and InvestEngine ISAs are zero cost with no dealing fees or commissions. Fidelity has both a platform fee and a trading fee why would you want to pay more fees if you don't need to?
Hi Toby, I very much look forward to your videos, and so far today's is very helpful. I'm relatively new to investing, a late newcomer at age 45; aside from opening an overseas retirement savings plan 25 years ago which is still riding the waves. I'd like to ask why Fidelity doesn't appear in your videos? I recently signed up with them for my S&S ISA because that's who my RRSPs are with in my home country but now I'm thinking they might not have been the best option for me. Is it just the costs? Thanks for any insight! Keep up the good work!
So long as what you invest in on Fidelity is available elsewhere, you'll later be able to transfer in-specie if you wish, which means transferring without having to ever sell the investments to do so - something that can cost more in market move than gain in moving to a cheaper platform. But yes, Fidelity isn't the cheapest
@@adrianl5899 Thanks for your reply. I thought it would be better so that I can transfer in my other portfolio but now thinking I should have done a separate platform. I'll give it a year and review my account. Cheers!
Also can you kindly advise regarding HL LISA. Some other channels recommend investing with HL starting with buying funds as free to buy and at 18000k mark for Lisa (45 pounds fee) to move to etf. Is it easy or worth it to do so? Have you tried switching from funds to etfs? Any risks? Many thanks👍❤ and yes please a separate video for HL lisa funds vs rtfs and relevant charges..maybe with some helpful examples ❤
Great video, thanks. Whats your opinion on solely holding the FWRG Invesco FTSE all world ETF which is diversified with both global developed and emerging markets in 1 fund. OR holding 2 individual funds separating the developed and emerging markets with balanced investment weights? For example investing in 90% VHVG and 10% VFEG. Interested to know your opinion, all the best
FWRG is a great fund, so simple and everything is done for you. If you want to use two funds like VHVG and VFEG you can save a TINY amount in fees, and it's fun if you like to tinker a little bit with your own weights. But honestly, do what works for you. Simple is usually always best :)
@TobyNewbatt Loving it, Thanks Toby. Have a great weekend!
I might make the move to IE as it seems to have more functionality than Vanguard. I like the idea of investing in themes such as AI and renewable energy.
I really like it and you can see my updates each month. At least this financial year you can always try them first and theres no pressure to commit. on a side note I love Vanguards funds, but I want to give their platform a kick up the bum to get some more features! :P
Do these platforms handle joint accounts or multiple logins?
This will probably be a silly question but does the initial lump sum i.e. £5k count towards your ISA allowance £20k limit or is it what you then might subsequently invest each month that just counts? Second silly question if you transfer another ISA into maybe Invest Engine does that count towards the 20k allowance & are you likely to be charged a fee to carry out the transfer? Thanks as found your video very helpful & informative! 👍
1. Existing money from old ISA accounts that get transferred DO NOT count towards your new ISA allowances and never have :)
e.g. - you might have £100k in an old ISA and you transfer it to a new provider this year. that £100k DOES NOT count towards the £20k allowance.
2. Initial lump sum or monthly investments all count. It doesnt matter how you put money in - if you out NEW money in that is what counts. Not previous money from old accounts. I hope that kind of helps.
As usual check the rules on the HMRC website etc. :)
Hey Toby, definitely considering moving to IE from Vanguard. How should I go about this, sell my VUSA shares and then re buy, or is there some automatic method done on behalf IE. Great video as always!
Check here: help.investengine.com/hc/en-gb/articles/8859537951133-Do-you-support-in-specie-transfers
It looks like that you can transfer your VUSA shares as they are without selling them - its called an in-specie transfer.
To do this, you just start the transfer process via your account at IE. Super easy maybe worth a video?
@@TobyNewbatt Thanks a lot, yes definitely worth a video, not just for this circumstance but for in-specie transfers in general.
@tobynewbatt.. how did you manage to allocate all of your funds towards Banks rather than QMMFs on trading 212 for the daily interest ? Mine seem to be allocated randomly. Thanks
I didn't, It was just allocated that way :)
So I can have 2 stock & share accounts open and invest in them as the same time? If so it would be good as some eft that I like but investengine but they are not on 212
Yes, from today (April 6th) you can invest in as many stocks and shares ISAs as you like. And this is exactly what I will be doing.
Hey mate, I have maxed my T212 ISA every year and have a large sum of cash which I'd like to deposit into a T212 general investment account to earn 5.20%. Would you say its better to deposit this cash into a T212 GIA (same provider as my ISA) or go with another broker for protection/safety purposes? Appreciate your views, thanks.
With investengine, once u set your monthly contribution amount, can you change it later or add lump sums randomly?
You can add lump sums anytime and change your contribution amount anytime soon :) - I did this to top up my last years ISA
Thank you Toby for information. I am new just watched your first video and it’s very helpful.
I have a strange question. How do we know if these investment apps are actually working for long term. For example if we deposit / invest in ETF £100 a month for 10 years how do we know if these apps will pay you funds? I feel dodgy to put money in the app then what about the end of it?
Theres a long answer to this question - in short, FCA regulations and CASS rules - worth googling these. We never know which platforms will last long term - but remember when your money is invested it is not in the platform the money is in the investment - watch a video I did a few weeks ago which says what happens when your broker goes bust
@@TobyNewbatt Thank you for replying 👍
Very helpful video and spreadheet, thanks. Is there a reason why Fidelity International fail to feature on these ISA comparison video's, not just yours but also other RUclipsrs reviews as well? Is there something fundamentally poor about their offerings? I have an old ISA with them and wondering whether I should consolidate elsewhere.
Thanks Paul! Nothing wrong with Fidelity or others that get missed out I just don’t think they are better than the ones here. For example, especially for new investors with smaller amounts to invest, why pay any fees at all when you don’t need to. Nothing stands out for me personally so I didn’t want to go into depth. Could add them to the spreadsheet though!
@@TobyNewbatt Thanks for the reply. As I said its fairly common for Fidelity to be excuded so its good to hear there is nothing obviously standing out as bad about them. I first invested with them probably 25 years ago when there wasn't as much choice as there is nowadays. I think they are a bit like HL insofar as they offer a broad range of products and do quite a lot of educational content (plus their Select 50 is always worth a look at, as a guide). Account fee's aren't the cheapest but come in lower than some, as always you have to study what fee's for what products and their varying thresholds (apparantly when you hit a new threshold the new reduced fee is applied to the total holding). Although ideally we shouldn't hold cash, since circa July 2023 they have started to pay interest and this has just increased to 3.6% (still below MM rates but still not too bad also considering no Account fees for the cash holding).
Great content as always Toby! I had a question around ISA deposits. In theory would it be better to put the full 20k into an ISA now (in 1 go), or contribute monthly over 12 months to the same value?
Many thanks for any help in advance!
Most of the time (I think around 2/3) lump sum investing outperforms drip feeding in as the market drifts upwards. I think I remember Toby doing on this but im not sure 😅
Correct as below - the data tells us that if you are a long term investor, lump sum will probably win as generally the market goees up (over the long run!). But I genuinely think this question comes down to you and whatever works for you :)
Thanks guys! Much appreciated!
Do HL give interest for having cash sitting in a stocks & shares ISA account like you said trading212 does? If so what % and on what timely manner?
On HL, it appears cash earns 3.00-3.70% depending on the size of the account. You also have the option to move out of cash into a Money Market Fund to do better though, which is what T212 do if you read their process. Hence to get the higher rates you'll not actually be in cash.
Can you do a partial transfer to invest engine.As with the multiple ISA opportunities I would like to transfer some to 212 and invest engine .
IE website:
"Currently, we can support partial transfers of past tax years ISAs in cash. For in-species transfers of previous tax years ISAs, they must be transferred in full.
We are aiming to deliver partial in-species transfers of previous years ISAs very soon.
If you are transferring this year's ISA, you must transfer it in full. We do not support partial transfers of the current tax year's ISA."
I'm new to the UK and looking to invest for long-term wealth creation, around 20 years. I'm considering investing in the FTSE All-World UCITS ETF (VWRP) by Vanguard, and I'd like to know if it's a good option for someone who wants to contribute cash monthly without daily monitoring. Your advice would be greatly appreciated.
VWRP is as good as any other global fund, however it is quite expensive at 0.22%. This is likely because it covers both developed world and emerging markets.
But if you break the fund down by its regions, though, it’s only about 5% EM, 5% Rest of the World and 90% Developed.
My view - VHVG offers developed world at 0.12% - that’s nearly half the price. So go for that for most of your portfolio. Then if you really want exposure to EM, add a second fund - VFEG. This is pure EM and is 0.22% (same as VWRP).
By splitting your portfolio this way (say 90% VHVG and 10% VFEG), you pay much much less (0.13% overall) but still get the same exposure.
No brainer really…
Edit: welcome to the UK, and good luck in your investing.
20+ years, paying in every month and leaving it alone, is the way to go
Great video. Appreciate the advice. I haveca question. If i transfer 2 isas to invest engine, is the cashback reward based on the value of the both isas together. Or does only 1 of them count?
Both - it's the total combined value that they look at you can check this in the terms and conditions :)
Ans it has been extended until the end of this month :)
Thankyou very much for that quick response. Very kind and very helpful.
Keep up the great videos Sir
Got a whole £10 welcome. Hope you better out this than I did lol.
Same thing happened to me at 212 recent. Got an £8 share.
It's """"random"""" lol
Another helpful video Toby, thank you!
welcome thank you :)
Thank you for the video. Could you send me the spreadsheet mate
Happy new year I guess :)
For a long term Index Fund investor I struggle to look past the giant that is vanguard. They give me the right level of confidence over the longer term given their standing. Yes, they might be missing some nice features and a mobile app but again, as a long term investor, I rarely want to look and analyse. I can see how someone investing in individual stocks would value all of that jazz. Interested in others thoughts.
A happy medium for me is investing in Vanguard funds on cheaper platforms :). But yes totally understandable and trust and security cannot be understated, its really important to do what works for you :)
One way of "testing the waters" so to speak could be this 👇 - this works only if you hold ETF's in vanguard, not mutual funds:
1) Leave your accounts with Vanguard as they are right now but right now don't contribute to your ISA there... if you have an ISA with Vanguard. Or, if you do want to pay into Vanguard, pay in a bit less than you would do otherwise.
2) Open an ISA with InvestEngine for instance and put some money into it
2a) Create a portfolio with the same holdings you have in Vanguard, set your weights and invest the money you have put in so far.
3) Leave it be in IE and see how it "feels" - the biggest changes for me were that no quarterly admin fees (Vanguard 0.15%) were deducted and that the dividends were credited earlier than in Vanguard.
4) Make a decision of whether to contribute more money.
As for potentially moving your Vanguard ISA - well... I'd say there is no need to do so immediately. I think it is more important for you to feel comfortable with someone else that isn't Vanguard. If it takes you 3 months to feel comfortable - that's fine. If it takes you 1 year - that's fine too - "you do you" as the saying goes.
And if you're not comfortable moving the account away from Vanguard at all - that's okay too - leave it there and only invest new money into accounts like IE.
Hi Toby. Where can we get that cool t-shirt? 😊
Let me see what I can do....potentially i might make them to order or at least a little giveaway :P
@@TobyNewbatt Thanks Toby.
Hi Toby, great video!! I’m looking to open trading 212 isa. Regarding fractional shares… HMRC tell me I can’t have in ISA but Trading 212 say I can. Any thoughts on this. Any help should be really appreciated as very confused/ concerned about possible Tax charges.. many thanks ❤
fractional shares were addressed in the autumn statement by Jeremy Hunt they are to be allowed - just a matter of getting the wording in the legislation sorted. It honestly does not concern me one bit its just a technicality.
See here if you missed the statement: questions-statements.parliament.uk/written-questions/detail/2024-01-31/hl2068
Thanks toby!!
Hi Toby, I really enjoyed this video! I recently built my own pf of 6 ETFs on IE, I am investing monthly into this S&S ISA. In September I will have a lump sum available from a fixed rate Cash ISA and I am trying to decide whether perhaps open T212 for this or put it into my IE pf. The only issue I have is that I don't want to put £10k in one day I want to do monthly deposits but IE have 0% interest on uninvested money. This is the main reason why I'm looking at T212 but is it not better to build up the pot in one pf as opposed to having two smaller accounts you can have one big one. Not quite sure what to do but will keep researching. My portfolio with IE is just equity so I think it would be good to have a few Bond ETFs just to balance things up. What are your thoughts?
One option would be use a Money Market Fund on IE to hold the lump sum and then in essence drip-feed from selling part of that holding into your chosen investments.
Whether you have one big pot on one provider or it's split between multiple providers is often just about issues like admin, feeling secure etc. Splitting a pot across two providers offering the same fee structure results in the same compounded growth as keeping it in one place.
On bonds, your unique time horizon, aims and risk appetite should guide as to whether or not to use bonds and, if so, the type. This is not to suggest you should or should not, but be aware bond funds come in very different flavours that behave differently.
@@adrianl5899 Thank you so much for taking the time to reply! I think the reason why I am thinking bonds is to balance things up as only equity in my portfolio. I've been told that bonds are good to have if equities are going down then bonds could be going up. I've only been looking at Gov bonds so no corporate bonds.
In terms of having two smaller pots vs one big one, isn't it better for compound and accumulative ETFs if the pot is bigger?
Toby thanks for the spread sheet. Can you explain why if trading 212 is very good, then why have the hassle of having x2 stocks and shares ISA'S? Those being investengine and trading 212? Thanks
I’ll do a video on why this works for me but in short it’s because you can now this financial year and also I like to organise my investments differently
Thank you
Trading 212 for me this year
Where's Interactive Investor? They're one of the main ones! I'm with them and Trading 212 and was curious to hear your opinion...
I have them on my spreadsheet but otherwise they are charging a lot in fees compared to someone like Trading 212 or InvestEngine. Why pay more when you don’t need to? 👍
Great video! One question please - I’ve just opened a Cash ISA with Barclays (before 5/04). Can I also open a stock and shares ISA with another platform, maybe Trading 212? (I know Barclays aren’t the best 😅 )
Thanks!
a cash ISA and a stocks and shares ISA are completely different so yes you can open whatever you like now. You can now open as many Cash ISA accounts or Stocks and Shares ISA accounts as you like. Just stay within the limit of not putting in more than £20,000 across all of your accounts.
Video coming soon this week explaining the new updates in more detail :)
@@TobyNewbatt Thank you! Really appreciate your reply. Looking forward to watching the new video :)
Hi Tony, great video
Just wanted to ask your opinion if I could, I currently have a investment account with my bank NatWest, have been looking at T212 or nvest Engine to swap over to but my concern is that if I put all of my portfolio over to a new one I would not have pound cost averaged my way in, instead I will be investing my whole amount in one go, I only have around £1000 invested so it’s not the end of the world but just wondering your thoughts?
Thanks in advance if you can reply, keep up the good work
You have to do whatever is comfortable but, in my view, if each time you switch you take yourself out of the market to then pound cost average back in, you'll likely lose out on returns over the long term.
Most pound cost average either because they don't have the funds to invest a lump sum or they don't have the risk appetite to do it. Here, you're already invested, so would just be keeping exactly the same level of investment. Unless you are already beyond your risk appetite, I don't understand removing invested money to drip feed it back in. Good luck whatever you decide.
@@adrianl5899 Hi thank you for you input very helpful and taken all that onboard, much appreciated.
Nice upload Toby. Very informative. I have recently invested through Trading 212 using a stocks and shares ISA. I bought 10 shares each at £2000. Using my ISA allowance. These shares are not whole numbers. for example 10.38485 shares. Are these considered as fractional shares ? HMRC have stated they do not accept fractional shares. I am concerned about this. Should I be ? Another question. I have a cash isa could i transfer a portion of this to a stocks and shares isa? Thanks and I will subscribe to your channel.
Fractional shares were addressed in the Autumn statement that they are to be allowed in ISAs, it's just a matter of getting the legislation through :). It does not concern me one bit.
In regards to the transfer you cant transfer per se, but you can take money out of a cash ISA and move it into a stocks and shares ISA, but do be aware that any money you have put into the cash ISA this tax year will count to this tax years allowance. All that matters is what new money has gone in this year.
@@TobyNewbatt Perfect! Thanks for your speedy response.
I've been waiting for the new tax year to get an ISA with T212 and interested to see one can bank with them. Is it a wise move to put a few thousand in the bank part for the interest?
I have my emergency fund here earning me daily interest and I am doing exactly that. As always though, do what works for you :)
Hello Toby thank you for your video. Are you sure i can put money in 2 different stock and share isa in the same tax year? I cannot find anything on Google saying that. Thank you
www.gov.uk/government/publications/tax-free-savings-newsletter-11/tax-free-savings-newsletter-11
This is from HMRC :)
it's the new rules. It was made clear in the autumn statement.
@@TobyNewbatt cheers pal👍🏻
Hi Toby, apologies for sounding so thick,you can open as many isa,s as long as the total amount is £20,000 or less? Thanks.
That’s right yes
correct - as long as the total amount that YOU put in is within the £20,000 limit during the tax year. You can fill your boots, have 4 stocks and shares ISA, 3 cash ISAs etc all with different providers. But DO NOT put more than £20,000 of new money.
Hope that helps :)
What is your preferred investment platform for beginners with small fund?
What happens if you go over the ISA limit? case one, you don't realise it yourself. Case two, you found out about it months after the event?
Is hsbc high risk a good option?
Should correct the part where you explained the new ISA rules. HMRC say the following: 1.2 Allow subscriptions to multiple ISAs of the same type, except for Lifetime ISA and Junior ISA. Just to be clear thats telling us that we can now contribute into many isas whether that be cash isas, stocks and shares but when it comes to Lisa’s and Jisas we can only open one of them per tax year, one per child for jisas
May I please ask does Invest Engine has UK Shares too?
No, just ETFs, but some ETFs only invest in UK shares if this is what you mean :)
This is quite an interesting insight.
But I was wondering which platforms to use for LISA accounts?
Of the ones mentioned in the video it seems to me only AJ Bell provides LISA.
Have you already made a video where you explore the different LISA platform providers?
I've not done a best LISA video, maybe one for the future it's just a topic with very low interest though
@@TobyNewbatt thanks for your reply, although I wonder why is not that popular?
It seems to me a good catch to get an extra 1k £ boost from the government, are there any considerations I missed from your videos around it? Is it best to go all in S&S ISA instead for the tax year?
@@nicholastucci1093 You can only use the money to buy your first house or when you retire (aged 60+) - there is no flexibility with a LISA. Great if you do want to buy a house, but otherwise not so much.
With a S&S ISA you can take money out at anytime and this wins it for most people. And you can contribute at any age.
@@TobyNewbatt that's a valid point, you're right.
From the way I see it, I'm ok to keep a portion of my ISA up to pensionable age (should be considered 58 IIRC when you can withdraw this money), as a lump I can consider "very long term" investment 😆
Thanks for your answers 🙌
So long as someone isn't at risk of needing pre-retirement benefits like Universal Credit, LISAs are a pretty good option for retirement planning.
In essence they combine major benefits of a pension (tax relief top up) and ISA (tax free on way out). So your £4k pa contribution will not only beat the same investment in an ISA (£1k bonus), but you'll have a tax free pot at the end of it.
Everyone's plans are unique but, for example, some will retire early using UFPLS on their personal pension during pre-state pension age to get nearly £17k tax free from it, and when State Pension kicks in (taking up their personal income tax allowance), they use their tax free withdrawals (LISA/ISA) to top up state pension income.
So it's another way of adding flexibility to the future if not using for a first time home.
InvestEngine reigns supreme 💪🏻
Vanda guard is number 1 butty
Not for serious players
@@TimComley Yeah, the lack of fees really kills me.
@@TruthTeller00 lack of choice
@@TimComley It’s got everything you need.
Hi what does everyone think of Fidelity thanks
Certainly a good option for Junior ISAs and Junior SIPPs as no charge for holding/buying/selling funds. I have a SIPP there too, but only because it retained access at 55. Imagine they could be good for transferring in and holding ETFs given the capped charge for those forms of investments too.
I've just gone into 212 to renew my ISA declaration and they are still using the old T&Cs it appears - "I have not subscribed and will not subscribe to another stocks and shares ISA in the same tax year that I subscribe to this stocks and shares ISA;
".
Thoughts?
old terms doesn't affect your rights :) - might be worth letting them know!
Just signed up to invest engine to transfer across my s&s isa from wealthify. As a newbie is the 0.25% managed isa recommended or is it easy enough to DIY and avoid the fees?
For many, a portfolio of a single global equity fund/ETF and, if wanting to use bonds, a single bond funds/ETF will suffice. Unless someone is at risk of making horrible investments, messing with single stocks etc. then DIY can be fine and avoid the extra fees.
Adrian has answered very well here for you Karl and this would be my thoughts too. As always though, it's a personal choice, there's no rush and you don't have to decide forever!
should i be nervous about newer platforms? i started investing with HL 6 months ago, now looking to move to Vanguard, but this makes me feel i should move to IE, but i am nervous about it as i would be if i were depositing lots of cash at a new bank for example, is that irrational?
It's not irrational at all. It's your money and there is a lot at stake. On a positive side, here ion the UK we have a highly regulated financial system. With those regulations come the protections from the FCA and the FSCS especially when it comes to your cash. Even in the event that a platform fails, your investment isn't going anywhere e.g. my Vanguard funds on IE are managed by Vanguard not IE...I may lose access to them for a while, but ultimately the value of my investment is based on the fund.
I use Vanguard for my SIPP, Trading 212 for an ISA with my stocks and IE for an ISA, and small SIPP for my ETFs :)
It's always up to you, do what's right for you and whatever level of risk you are happy with.
@@TobyNewbatt Thank you!
So can you now deposit into 2 of the same type of ISA in the same tax year?
E.g - 2 stocks and shares ISA as long as the total amount is under 20k
Thanks!
That is correct these are the new rules from today :)
You can have as many ISA accounts as you like - the ONLY ones that you cant have multiple of is the Lifetime ISA and the Junior ISA :)
I believe the regulations allow for it but that providers are not required to follow them, check the individual T&Cs - That said I'd be surprised if they don't as they would be likely losing customers to more flexible providers. Speaking of flexible, as an example of where guidance and reality differ, some providers have flexible ISAs and some do not (you can take money out and put it back in within the same tax year).
@@user-si7fj5rh5u The rules state that providers don't have to allow multiple with THEM - this is separate for multiple ISAs across multiple platforms I hope that makes sense.
e.g. Vanguard don't have to allow you to have 4 stocks and shares ISA accounts with THEM.
But you can do what you want :) I hope that makes sense.
Hi Toby. Thanks for this. Will you be able to send me a copy of the at spreadsheet please? Thanks
The link is in the description
@@TobyNewbatt thanks Toby
@@TobyNewbatt got it Toby. Thanks a lot
Which Vanguard S&P 500 should I use for my ISA - VUSA or VUAG?
VUSA - pays dividends to you
VUAG - automatically reinvests dividends and you do not receive them
there's the only differences :)
@@TobyNewbatt thanks Toby 🤝
Should point out fractional shares still aren't allowed in an ISA according to HMRC. It's not yet resolved and unknown what the outcome would be (eg: get hit with tax as it's outside an ISA). It's why the established brokers do not yet offer fractional shares in the UK.
It's not officially been sorted no - but any other outcome than allowing fractionals i'd eat my hat :P.
Also it looks like the providers would be on the hook anyway. Worst case, stick to full shares if you want to belt and braces :)
Does the stock market it's self usually make a notable move this time of year as everyone who was maxed out on their 20k buys more shares again?
Good question
Now that would be interesting to really know - my gut tells me that only a minorty of people can ever invest £20k in one go...we're talking a very small number of people here. Maybe enough to move an small company price, but not a big index fund.
Im sure some traders plan this into their strategies...
It would, but only, if there were tens of millions of people who were investing the full £20,000 and they all suddenly bought the same stock on the same day.
Sounds like Invest Engine is the best, for just investing in just one ETF.
Great content, but I've never managed to get Trading 212 immediate bank transfer to work and a standard bank transfer says that the bank details cannot be checked ahead of transfer - very off-putting...
Thats very odd indeed, can't say I've ever heard of any issues! Could be a random KYC check. Always worked seamlessly for me.
I use first direct and transfer the traditional way and it did say cannot verify payee details. Works fine but test with a small amount first.
Very helpful video as always! My understanding is that you can pay into multiple S&S ISAs in the same year now. But Trading212 is asking me to renew my ISA declaration and there’s a line within it saying “I have not subscribed and will not subscribe to another stocks and shares ISA in the
same tax year that I subscribe to this stocks and shares ISA”. Anyone else had this and what did you do?
The declaration is from last year it's clearly not corrected. Expect an amendment very soon. Who you open your stocks and shares ISAs with is your business nobody can stop you :)
Hi Toby, your comments on Vanguard re dividends and no email are spot on.
There is another item re vanguard dividends, for some reason, the dividends appearing on the vanguard platform are days and days behind other platforms.
I cant see any justification for this being so slow. Presumably that money is sat in an account somewhere earning a lot of interest.
I get nervous that I'm not going to receive them every time 😅
getting an email sent to people has to be the easiest fix ever - I think I might ask them to sort this!
I was a bit confused at that part. If I put 20k in now, anything I make on that isn’t reinvested? New to ISA but wanted to put in a lump sum and leave it.
@@ShootoUKif you choose an accumulation fund rather than a distributing one the dividends are automatically reinvested for you
@ShootoUK the money you get from the value of your investment going up is obviously still invested. It's only the dividends which don't get automatically re invested if you were to choose thst type of account. It just means you need to do it manually every quater or how ever often your divide is get paid. It only takes 2 minutes and your dividends will just sit in your investment account as cash until then. Its really not a big deal at all.
Any idea how many customers the likes the HL are losing each tax year for new ISA subscriptions?
Good question! As far as I know they still get new customers but the demographic is very different. Lots of old money, big portfolios that don't move etc. Not ideal to get started out in my view
Are there any Anti-ESG funds? I want my the companies I invest in to legally make as much money as fast as possible!
speak to your local mob boss he will be happy to help LOL
@@TobyNewbatt A peculiar answer, even if in jest - it's not like they don't exist and he did say 'legally'.
There are, just search.