corto
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Post by corto on Apr 30, 2020 9:10:12 GMT
It won’t cause problems soon or ever. Maybe for some ETFs but not vanguards I am quite uncertain what's going to happen with non-domiciled funds. Any, not just Vanguard. Good chance, this gets fixed in time, nothing changes, everything just proceeds smoothly. Yet, if not, non-dom funds may at least need to apply for reporting status (again). If they don't get it, gains may be taxed as interest instead of capital gain. Higher tax, lower tax limits.
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r00lish67
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Post by r00lish67 on Apr 30, 2020 9:46:20 GMT
It won’t cause problems soon or ever. Maybe for some ETFs but not vanguards I am quite uncertain what's going to happen with non-domiciled funds. Any, not just Vanguard. Good chance, this gets fixed in time, nothing changes, everything just proceeds smoothly. Yet, if not, non-dom funds may at least need to apply for reporting status (again). If they don't get it, gains may be taxed as interest instead of capital gain. Higher tax, lower tax limits. Monevator has covered this in full. This is as applies to No-Deal Brexit back in the heady days of 2019 but I'm sure similar logic applies. A snippet: "Vanguard told me that it will be able to continue selling and marketing their Ireland-domiciled funds and ETFs in a no-deal scenario thanks to the UK Government’s Temporary Permissions Regime (TPR). This checks out. The UK’s financial markets regulator, the FCA, states:The temporary permissions regime will allow EEA-based firms passporting into the UK to continue new and existing regulated business within the scope of their current permissions in the UK for a limited period, while they seek full FCA authorisation, if the UK leaves the EU after 31 October and there is no deal.It will also allow EEA-domiciled investment funds that market in the UK under a passport to continue temporarily marketing in the UK. The key takeaways from the underlying detail are:The temporary permissions regime solves the passporting problem for UK-resident investors in a no-deal scenario.Temporary means the arrangement lasts for three years after Brexit.Firms can obtain UK authorisation for their EEA-domiciled funds during that three year period. The FCA says the temporary permissions regime is now law. Firms must sign up to the temporary permissions regime and the FCA recently extended the deadline to Oct 30 2019.I’m assuming that global corporate giants like Vanguard and BlackRock (the owner of iShares) have the wherewithal to get their paperwork sorted by the deadline"In any case, it's pretty obvious that one of the World's largest investment managers isn't going to be left to hang out to dry, no matter what the exact detail. You think the Conservatives would screw over the investor class?
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macq
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Post by macq on Apr 30, 2020 10:34:27 GMT
Ah but what about the Zombies afterwards?
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Post by dan1 on Apr 30, 2020 10:38:06 GMT
I am quite uncertain what's going to happen with non-domiciled funds. Any, not just Vanguard. Good chance, this gets fixed in time, nothing changes, everything just proceeds smoothly. Yet, if not, non-dom funds may at least need to apply for reporting status (again). If they don't get it, gains may be taxed as interest instead of capital gain. Higher tax, lower tax limits. Monevator has covered this in full. This is as applies to No-Deal Brexit back in the heady days of 2019 but I'm sure similar logic applies. A snippet: "Vanguard told me that it will be able to continue selling and marketing their Ireland-domiciled funds and ETFs in a no-deal scenario thanks to the UK Government’s Temporary Permissions Regime (TPR). This checks out. The UK’s financial markets regulator, the FCA, states:The temporary permissions regime will allow EEA-based firms passporting into the UK to continue new and existing regulated business within the scope of their current permissions in the UK for a limited period, while they seek full FCA authorisation, if the UK leaves the EU after 31 October and there is no deal.It will also allow EEA-domiciled investment funds that market in the UK under a passport to continue temporarily marketing in the UK. The key takeaways from the underlying detail are:The temporary permissions regime solves the passporting problem for UK-resident investors in a no-deal scenario.Temporary means the arrangement lasts for three years after Brexit. Firms can obtain UK authorisation for their EEA-domiciled funds during that three year period. The FCA says the temporary permissions regime is now law. Firms must sign up to the temporary permissions regime and the FCA recently extended the deadline to Oct 30 2019.I’m assuming that global corporate giants like Vanguard and BlackRock (the owner of iShares) have the wherewithal to get their paperwork sorted by the deadline"In any case, it's pretty obvious that one of the World's largest investment managers isn't going to be left to hang out to dry, no matter what the exact detail. You think the Conservatives would screw over the investor class? Please don't quote stuff like this r00lish67 - one has to look after one's ever diminishing fees
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zlb
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Post by zlb on Apr 30, 2020 11:45:38 GMT
Why Vanguard, everyone? apart from @wallstreet. Fees? Vanguard's platform only? Or their trackers and other passive funds are the only ones which track indices in certain ways?
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IFISAcava
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Post by IFISAcava on Apr 30, 2020 11:52:24 GMT
Why Vanguard, everyone? apart from @wallstreet . Fees? Vanguard's platform only? Or their trackers and other passive funds are the only ones which track indices in certain ways? I'm fond of L&G and Fidelity index tracker funds too, sometimes even cheaper than Vanguard. For etfs also iShares and Xtrackers - whatever is available to track the fund(s) you are interested in on the low cost/free brokers, which probably represent cheapest way to buy and hold at cost of restricted range for small to medium hitters. see: monevator.com/compare-uk-cheapest-online-brokers/
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Post by Deleted on Apr 30, 2020 13:49:58 GMT
Why Vanguard, everyone? apart from @wallstreet . Fees? Vanguard's platform only? Or their trackers and other passive funds are the only ones which track indices in certain ways? Vanguard outperforms a very large part of the market and charges very little for it. The point is it outperforms only a very large part of the market.
They just track automatically, balancing fast as possible and charge very low rates for it. Once you take into account fees they still only...... see above.
But somepeople like them, which is fine, and if you are time poor then they are a great way to go. Up to a certain number of "great".
They are part of the whole robot-investor movement
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zlb
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Post by zlb on May 1, 2020 9:48:55 GMT
How many times do I have to say this. Free brokers ARE NOT free. You will be paying, and I can tell you its practically guaranteed you'll be better off paying upfront fees rather than "free". Don't believe me ? Three words .... Bureaux De Change Similar concept. Thanks, my (possibly windup) question is, I've been enjoying Degiro, as it's v low pricing allows me to invest v low amounts in my v low learning curve. Now Degiro can't get direct assurance that they can continue to offer platform in UK. So I was in the queue for freetrade and I can use it now - although theirs is a very different thing to Degiro it seems to me, and feels a bit odd having it phone screen only. I can see that one might not be instant trading with them, but that's how far I've got. Are free stock screeners also a problem? e.g. simplywall.st is very pretty? @ifisacava I'm familiar with Vanguard funds being free to trade on Vanguard platform but didn't know that they were elsewhere. thanks.
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zlb
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Post by zlb on May 1, 2020 11:04:15 GMT
Yes, thanks for all info @wallstreet. I was hoping screening would help narrow things down as otherwise overwhelming - I'm coming from a background of learning to trust that the stock market that I can see is real and not a fantasy film compared to what bank traders do, all a learning curve. 'so you mean I can buy that nefarious doesn't really exist thing, and if it goes up in price then the money is mine?? How long will this mechanism exist for, until I'm fully invested and then I lose all my money?'.
Interactive brokers have inactivity fees and <$2000 invested fees (for whoever).
I'd previously read that Degiro 'lend money' my understanding is that this is for people who want to borrow it for hedge of some kind - presumably short term, maybe by day. I've not encountered anything saying that this means my money is at risk... If they end up with permanent permission for UK I'd be happy to go back there. Yes I'm happy to get info from other sites than the broker.
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Post by Deleted on May 1, 2020 11:13:37 GMT
I've used Stockopedia for share selection, which offers a free 2 week trial period. I used to use it daily for 3 years so I paid my bills. Now I need to use it quarterly so I just take up the 2 week free offers. They have some good screening tools plus their own "special" kit.
Their data looks like scrapings but early on I used to work with them to highlight errors (normally glaringly obvious) and after a bit of pushing those problems went away.
For Funds, I use Trustnet. This is free but not every fund is fully on it, so I do my discard analysis on Trustnet and my selection analysis on the actual fund webpage.
This whole subject of discard analysis is mentioned by Whitehall and is vital especially for people overwhelmed by the base 2500 shares in the UK market and the 35,000 funds available. So I never invest in Russia, China, Turkey, Latin America, Africa etc etc. This just removes the temptation to spend hours reading about wonderful gold fields in Whereverstan. The bad news is I will never get rich from massive gold finds, but I will also not lose all my money over a dry hole. Discard with energy and don't get tempted back into exciting things people tell you on street corners (possible veer off topic, but I hope you know what I mean). I'm with "naked trader" here, a discard is a discard.
The other useful tool is a notebook. Keep a track on why you didn't discard, how you finally chose an asset and how you timed it. Slowly your notebook will let you see how effective your decision making process is. If it doesn't work it gives you reasons why and slowly your process will evolve to more success.
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zlb
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Post by zlb on May 1, 2020 11:41:40 GMT
I'm currently also getting to know fundsupermarket through Cavendish as they have low fees for my seemingly tiny investment risk. You get a Fidelity login - so it's on Fidelity platform, the quotes can be a bit erroneous as you get quoted Fidelity fees when in fact won't be paying those. A bit limiting in confidence that one won't get charged the advisor fee in that respect.
Is it ok to ask why do some funds come with an advisor fee, eg that Schroder fund mentioned here recently, but others not?
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Post by Deleted on May 1, 2020 11:50:58 GMT
The way I look at all fees is that they are negotiated by someone so they vary. You either take the deal that is offered or not. I once spent time comparing HL, II, and Fidelity on all such costs for particular products and for all HL shout about their fantastic deals I struggled to get more than a cigarette paper between the three.
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registerme
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Post by registerme on May 1, 2020 12:00:31 GMT
The other useful tool is a notebook. Keep a track on why you didn't discard, how you finally chose an asset and how you timed it. Slowly your notebook will let you see how effective your decision making process is. If it doesn't work it gives you reasons why and slowly your process will evolve to more success. Just to underscore this point. I keep a "decision log" (in Excel rather than a notebook but....) and I go back and score my historic decisions. I keep a record of why I took the decision I did eg what factored into it. The rigour helps, and it provides a very good mechanism for learning from your mistakes.
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IFISAcava
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Post by IFISAcava on May 1, 2020 12:45:48 GMT
I'm currently also getting to know fundsupermarket through Cavendish as they have low fees for my seemingly tiny investment risk. You get a Fidelity login - so it's on Fidelity platform, the quotes can be a bit erroneous as you get quoted Fidelity fees when in fact won't be paying those. A bit limiting in confidence that one won't get charged the advisor fee in that respect. Is it ok to ask why do some funds come with an advisor fee, eg that Schroder fund mentioned here recently, but others not? Once you invest via Cavendish, you pay 0.20% to Fidelity and 0.05% advisor fee to Cavendish on your total balance, and that's it. You don't pay the Fidelity annual fee. no fees for buying and selling. No entry/exit fees (unless the funds charge a spread - a few still do but the vast majority not). Of the % brokers, IMHO it's the best deal unless you want just Vanguard funds - in which case Vanguard direct is best. I use Cavendish for my more actively traded funds, but low cost/flat rate brokers for my larger buy and hold investments and etfs (Halifax, iWeb, Trading 212). I also play it safe by using more than one broker to make use of the £85,000 FSCS guarantee on each. Just in case.
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IFISAcava
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Post by IFISAcava on May 1, 2020 13:03:58 GMT
How many times do I have to say this. Free brokers ARE NOT free. You will be paying, and I can tell you its practically guaranteed you'll be better off paying upfront fees rather than "free". Don't believe me ? Three words .... Bureaux De Change Similar concept. not quite it does depend on the size/frequency of your investment trades. On Trading 212 for example, VWRL had a spread of 0.05% when I just looked - pretty hard to beat that especially on smaller investments (and of course, spreads do vary, usually 0.05%-0.2%). but yes you need to compare the spread as well as the fees. Again, I found Monevator very helpful for this (https://monevator.com/compare-uk-cheapest-online-brokers/) I use a mixture of models depending on investment strategy. But I would have thought it goes without saying that there's no such thing as a free lunch.
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