I read a recent thread, “which stocks and shares app is best?”, with interest as it alerted me to the fact that I may be paying too much in charges for my investments
I have two main providers, let’s call them A and B. In A my cash is divided into two funds, the annual charges are 1.47 and 1.4% respectively. In B my cash is spread over multiple funds and the charge is 0.5% service charge plus 1.09% overall total fund charges (from latest annual statement)
Returns for A over last three years: 4.4%, 4.6% and 3.5%.
Returns for B over last 4 years -2.6%, 21.4%, 1.9% and 6.6%.
These periods will be from a date during the year, not calendar years.
I’m tempted by the “invest in the whole market” strategy but not sure how to figure out if I would be potentially better off doing so.
If I am looking at the correct data is seems VWRL over the same period was -2.23%, 7.98%, 23.98% and -9.62%
These will be for calendar years to not an exact comparison.
I am able to switch funds with provider B (not sure about A) at no charge. For example, their charges for Vanguard FTSE UK All share Index Unit Trust are 0.08%. It does say in the description “This fund charges one fixed fee” and I am not clear about this when they also quote a percentage.
Any advice is most welcome and appreciated.