I did not discuss the HSBC fund in great detail here and i probably should have, I am sorry for this! It is an index fund and the brokers I use are primary ETF only. In my experience, the fee savings on this funds is offset by other fees charged by platforms that provide the fund. However, below is a sheet I have compiled. It goes through some of the major brokers and their fund options in a bit more detail, in case you are considering options outside of those I have listed in my description and which I personally use. handy cheat sheet together: financialinterest.com/index-fund-cheat-sheet/ It has an overview of leading brokers, their fees, their most popular funds, a glossary to simplify complicated jargon, and more!
@philgosling
8 ай бұрын
Fantastic and much appreciated - Well done.
@donkeyshorn
7 ай бұрын
I'm with ii and have the 'Vanguard FTSE Glb All Cp Idx £ Acc' and the fee is .24%. Has it gone up or am I looking at the wrong one? Damion has 'Vanguard FTSE Global All Cap' as .23%
@philgosling
7 ай бұрын
@@donkeyshorn FTSE Global All Cap Index Fund (VAFTGAG) Accumulation 0.23% Reinvests any dividends with the aim of growing your investments over time Income Distributes any dividends to you, to take as an income Overview Price & Performance Portfolio Data Distributions Costs & Minimums NAV price (GBP) As at date 30 Jan 2024 £195.58 Change -£0.03 -(0.02%) Number of stocks As at date 31 Dec 2023 7,108 Stocks Ongoing charge (OCF) 0.23% Transaction costs apply Risk 5 5 out of 7
@timcooper1841
5 ай бұрын
@@donkeyshorn i think the ETF version is slightly cheaper for some reason
@aligardner10
2 ай бұрын
What’s the pros and cons of index vs ETF?
@tommyleejohnson7308
7 ай бұрын
Nicely done, well taught. As a retired finance/economics prof, your teaching skills are much superior to mine.
@stuarth9359
11 ай бұрын
Re Vanguard fees, I believe the Vanguard US parent company is a mutual co, owned by and for the benefit of their US investors. Charging higher fees in their non US jurisdictions (UK & AUS) enables them to keep the US fees artificially low 😢
@blottonthelandscape
11 ай бұрын
You’ll need to consider tracking error and also how they might add performance at the margin eg: stocklending, trading around index announcements, corporate actions for example.
@elliot5504
11 ай бұрын
Cathie Wood'er, should'er, could'er. Great line. Find your videos always have great writing 👍
@DamienTalksMoney
11 ай бұрын
Thank you so much! I spend the most time on the writing side of things so really appreciate the nod to the script.
@Gold.Circle.
5 ай бұрын
Crashy wood is
@michaelh2282
2 ай бұрын
You deserve a "like" for that line.
@Me-ll4ig
11 ай бұрын
Damiens videos are always so interesting, never thought talking about stock markets could be so interesting but Damien is a total expert.
@DanKohan
11 ай бұрын
Great video, Damian! I completely agree with your approach to investing in passive, low-fee global index funds. It's all about keeping things simple and cost-effective. Fees can eat away at our returns over time, so I appreciate your diligence in finding the most cost-efficient options. Thanks for sharing your insights!
@ΙΩΑΝΝΗΣ-ΠΑΥΛΟΣΚΩΝΣΤΑΝΤΑΚΑΤΟΣ
7 ай бұрын
If you add a little more small cap and exclude small cap growth you do expect higher returns LONG TERM but also higher risk BUT better risk to reward ratio ! You might want to look at factor investing!
@kiesviswa7665
11 ай бұрын
1. Why 2. What and 3. How. Proper video! Great work and more of these please.
@jakkuwolfinsomnia8058
11 ай бұрын
My take on it is like this: Low risk (safety orientated) => index funds (exposed to all companies worldwide) Moderate-High risk (return orientated) => Stocks/Shares (willing to take the risk for the potential for higher returns) Keeping it simple while having some structure to my approach. That’s what makes sense to me at least. It doesn’t matter if an investment brings back a 10% return if it costs you 1-2% in fees
@IAMMARTICUS1470
8 ай бұрын
I would probably add that index funds aren't completely low risk, as the stock market does fluctuate a lot. I'd probably have them as medium risk, with low risk being bonds/gilts, possibly precious metals or just plain old savings accounts now that interest rates are higher.
@LEWIS1992
11 ай бұрын
Great video! It's worth remembering that fees can change, so I don't think it's worth the faff of moving everything to a new platform unless the fees are SIGNIFICANTLY different. Gonna stick with Vanguard for now.
@pistopitpit
9 ай бұрын
If customers stick with Vanguard, then the fees on that platform are unlikely to change.
@DR00002008
11 ай бұрын
So why does VWRL consist of 3688 stocks but FWRG consist ‘only’ of 1745?
@festerarl6653
11 ай бұрын
Good reminder for me. I'm moving more to passive with global OEIC's - V/g and HSBC - on a zero cost platform. I am keeping a small percentage in active funds but that suits my personality. KISS springs to mind. Keep it simple stupid!
@overripe
11 ай бұрын
Somehow, I like this chap and what he says.
@DamienTalksMoney
11 ай бұрын
😊
@naomicgabriel
7 ай бұрын
Your editing is so good! So engaging and witty.
@my7username7is
11 ай бұрын
I think if you live and work in the UK, it makes sense to invest in funds that exclude UK. If you look at your finances as a whole (salary and house etc), you're probably relatively overinvested in UK
@lechprotean
11 ай бұрын
@@Gjudxdkjyzddhjnr7091 yeah, I do not live in the UK and the strategy worked great for me too
@83craigshag
11 ай бұрын
Provably best not to take financial advice from a youtube post... my uk investments have done really well the the past few years
@roccostiff2444
11 ай бұрын
@@83craigshagcan I ask how you invest in the UK coz the only thing that makes sense for me In this poxed country is Bonds 🤷♂️ lol
@Joe-lb8qn
2 ай бұрын
I agree and have invested like this for years, on the basis that if the UK is doing well then so am i (eg money going into healthcare transport local councils etc) and if its not then the pound will fall and my foreign investments will do even better.
@COOLARUL
11 ай бұрын
From Australia. I spread over 3 funds 25% ASX 200, 25% S&P 500, 50% all-world ex US.
@NoNonsenseJohnson
5 ай бұрын
Sounds like a future headache of rebalancing and unnecessary risk / admin. Just use a global fund
@gregoneill990
11 ай бұрын
New subscriber here. These are great videos. Very well presented with useful, practical advice.
@DamienTalksMoney
11 ай бұрын
Welcome to the channel and thank you for the lovely comment 😊
@nicofit3656
11 ай бұрын
Since I came across your page I’ve made some big progress in terms of investing. Thank you sir.🙏
@anjux3673
2 ай бұрын
My preference is for the VEVE etf currently. It tends to outperform VWRL with no emerging markets…but then I have some AEI for that…
@petel3366
9 ай бұрын
The World Series was from a news paper called The World. Its not a reference to the globe !
@harryheavens8929
11 ай бұрын
This guys ability to frame a narrative makes his videos so engaging
@DamienTalksMoney
11 ай бұрын
Lovely feedback thank you
@mda99das
11 ай бұрын
I'm surprised to see that no one has mentioned India. It has outperformed SPX and NDX, it is now the 5th largest economy, and less affected by energy than the west.
@rw6039
3 ай бұрын
Great video. Regarding the fees section, where it states the vanguard fee is circa £32k on a £745k portfolio. When is the £32k charged? It is when you withdraw the portfolio from the account?
@TheRealMerl
11 ай бұрын
My favourite youtuber is back with more fantastic content - such a Legend
@DamienTalksMoney
11 ай бұрын
Thank you!
@zeea6507
7 ай бұрын
My ISA is in Vanguard FTSE Global All Cap Index Fund
@mitnoxin
8 ай бұрын
I note that Trading 212 appear to have the wrong KID linked to this fund stating that the charge is 0.22% (it's the Vanguard equivalent fund) . Not very helpful!!
@Desuetus
11 ай бұрын
The spread is a hidden cost. On Vanguard it's 0.03, on Invesco 0.29. What you're gaining in total expense you're loosing in spread.
@zanmatoshin877
5 ай бұрын
What is spread??
@Desuetus
5 ай бұрын
@@zanmatoshin877 Difference between asking price and bidding price of a stock. It indicates liquidity. Like when you buy or sell a currency, you see a small price difference.
@willadye6033
5 ай бұрын
So your telling me there’s absolutely no difference between the invesco 0.15% fee and the VWRL 0.22%, only difference at all is the fees?
@Marenqo
11 ай бұрын
I moved to invesco the moment it came out. Happy so far
@DamienTalksMoney
11 ай бұрын
All been working ok for you?
@bodycounter9386
6 ай бұрын
09:28 outside of liquidity the TD of the Vanguard ETF has been almost perfect so far. The Invesco is so young it could potentially perform slightly worse and nullify the difference in TER. There is also a chance that Vanguard reduces the TER and the Invesco dies out in the next decade.
@cristobal666
9 ай бұрын
Instead of going with the Global fund, you can split you investments in sp500/europe/pacific/emerging. Like that you don't pay the whole amount at 0.25%
@vinylwarmth
9 ай бұрын
Why do you use an app to buy your funds and not in a Vanguard Stocks & Shares ISA directly?
@RakanXYZ
11 ай бұрын
I've been giving this alot of thought today. I am personally looking into the US index funds and was looking into something ex-top 7 market weight stocks. Something to hedge against the huge gains of the big cap stocks and bets on small caps medium caps making come backs.
@RickMyBalls
11 ай бұрын
alot
@blumousey
11 ай бұрын
There is actually an EVEN more inclusive index than the global allcap. It's called the 'ftse global total cap'. This also includes micro-cap stocks! Would be interesting if a fund came out that somehow included these...would it be worth it?
@wololo4761
11 ай бұрын
Probably not. The simple reason being that any individual microcap stock would likely have such a small impact on the fund total value that it would have negligible effect.
@jackduk
4 ай бұрын
I think you're about to become my go to educator for someone who is about to become mortgage free and wants to invest!
@AG-so4gl
3 ай бұрын
VOO is all you need
@BrainHarrow
3 ай бұрын
@ReyanBenson I recomend Svetlana Sarkisian Chowdhury
@CatherineAlas-ys8rn
3 ай бұрын
@@BrainHarrow WOW!! My advisor for 4 years now has been this same "Svetlana Sarkisian Chowdhury😊
@BrainHarrow
3 ай бұрын
I found her on Bloomberg where she was featured, but you can easily look up her name on the internet.
@tawood2014
2 ай бұрын
"Svetlana Sarkisian Chowdhury" 🤣How do you guys come up with these names? 🤭
@flo3467
2 ай бұрын
I recommend Uranus
@ElliotCoen
11 ай бұрын
I am frantically taking notes 📝 This vid is set to be another Damo hit
@iain777uk
11 ай бұрын
Then please learn about a physical and synthetic ETF’s
@sebastianchatt5960
8 ай бұрын
Thanks Damien, struggled for a couple of weeks now to actually get my head around what fund to use and how to finally start investing properly and regularly, lots of great videos about how important it is to make use of compounding but none that help with the nitty gritty of finding the right way to unlock that. Appreciate all your insights and very supportive of your channel.
@AndrewGill73
8 ай бұрын
OK, just be careful of the tracking errors. Sometimes a ETF with a low fee is because their sampling methodology/technology is inferior resulting in significant underperformance to the index it's designed to track. Importantly Invesco FWRG has 799 holdings whereas Vanguard VWRP holds 3,633 holdings. So this explains why the fee is lower - it's the sampling methodology. Time will tell.
@OliverDykes
2 ай бұрын
FWRG Is well over 2,500 holdings now btw
@RickSanchez-dn6rd
4 ай бұрын
Probably a really stupid question here & sorry in advance if it is obvious. If I buy shares that stipulate I do not get the dividends but they are automatically reinvested to reap the benefits of compounding, this will obviously grow the assets effectively over time. But: When it comes to a certain point where I feel I have reached my goal & want to receive the dividends myself, Would this mean I need to sell the shares that are automatically reinvesting in the capital, and swap them out for ones that pay me personally? Which makes me think: Why not always buy the version of the share that pays me and manually reinvest instead ?
@michaeljeffries1920
10 ай бұрын
i started investing in this fund also, monitoring over a few other etfs it is out performing so far but early days yet.
@gabrielchu9752
7 ай бұрын
Hi Damien, it would be interesting if you make a video about the mechanisms/tools that you use to compare funds or other securities. For example, from this video I was able to learn about FTSE Russell and FT's fund comparison tool.
@anjena
11 ай бұрын
Why a fund vs ETFs like VWRL or a mix of VEVE and VFEM? Seems like a cheaper option.
@ellleigh1216
10 ай бұрын
Ive added this to my portfolio, just a really simple 3 fund portfolio, vanguard s&p, invesco nasdaq 100 and invesco all world. All acc and looking to just set and forget for the next 30 years, dollar cost averaging. I have a question though, why would someone choose index funds over ETFs?
@Baxter91
11 ай бұрын
Gives me a little comfort knowing I also buy VWRL every month. If its good enough for Damo 😂
@DamienTalksMoney
11 ай бұрын
Great fund mate, i have most my net worth in it
@RobCLynch
11 ай бұрын
Im just about to invest a 44k inheritance into premium bonds, just to see shat the scan bots have to say.
@shuggy50
5 ай бұрын
ETF such as the Invesco are not covered by the FSCS, whereas your other funds are covered. Important aspect.
@Heshkinp
5 ай бұрын
Wrong fscs covers up to 85k no distinction between etf and othet funds, its per account
@adrianl5899
5 ай бұрын
@@HeshkinpETFs have no FSCS protection at all.
@marklydon435
11 ай бұрын
That Invesco ETF has an indicative spread of 0.27% so factor that in as well, but at least that is only one hit when money goes in and not yearly.
@FMPrussia
5 ай бұрын
Hi Damien, one thing you didn’t consider was the tracking error rate offered by vanguard which far surpasses anything else on the market. From my perception this is why the vanguard all cap is worth the extra fee relative to HSBC or MSCI.
@dannyhayes7631
5 ай бұрын
What’s this?
@kieraardley1051
10 ай бұрын
I’m invested in VUSA and the Global All Cap index funds on Vanguard? Should I be just investing in one? Am I wasting money on fees?
@sid35gb
9 ай бұрын
Management fees are a drag on your investment.
@kieraardley1051
9 ай бұрын
@@sid35gbdo you suggest just investing in one?
@addj7093
11 ай бұрын
The only one I’ll buy is the BlackRock one 👍🏻
@MrBazzyK
5 күн бұрын
Excellent video as always! With this index fund, what are people pairing it with for broader coverage in their ISA's?
@davidpacker7602
11 ай бұрын
Instead of using VWRL(0.22%), is there any reason you weren't using a split of VEVE(0.12%) and VFEM(0.22%) to create the same portfolio as VWRL but with lower overall fees. In fact a 90% VEVE 10% VFEM split still has lower overall fees than the INVESCO option.
@DamienTalksMoney
11 ай бұрын
If i am honest i don't like rebalancing myself i want the core holding to be as simple as possible.I could rebalance simply using pie features and such on the brokers i use.. But yeah maybe i am just lazy
@davidpacker7602
11 ай бұрын
@@DamienTalksMoney Simplicity is a perfectly fair reason :) Have a good day
@theporkchopexpres
8 ай бұрын
HSBC FTSE All World Index is 0.13%
@zzhughesd
11 ай бұрын
Great clear video Damian. Thanks. I’m annoyed seeing VanG US customers can mess around at 0.03 and 0.07. Ripped off again us Brits
@DamienTalksMoney
11 ай бұрын
It does feel that way doesn't it
@neilmartin6949
8 ай бұрын
Interactive Investor says the Key Investor Information Docuement for this Invesco fund is missing and hence you can't buy it on the platform - extremely annoying
@mevishmushtaq-ahmed9130
4 ай бұрын
Damien - this fund is sampling though and on one of your videos you advised that wasn't great when compared to the vanguard?
@dar1e
11 ай бұрын
Aren't there some higher taxes on all overseas funds as opposed to UK funds since you are a UK resident. Is it not better to find the UK index that is closest performing to a global index and invest in that in order to save on taxes?
@DhavalBrahmbhatt2627
8 ай бұрын
So hang on, WHICH fund are you investing in? I think I missed it completely. Is it VWRL? Or is it fwrg?
@michaeloneill151
7 ай бұрын
Damien, you mentioned choosing a fund listed in GBP, is the VWRL listed in USD with Vanguard?
@Jose_Lima
9 ай бұрын
[Currency] You might want to consider investing in the original fund's currency because it normally has lower total expense ratio and for what I could backtest, the Performance difference comparing to local currency versions of the same fund is bigger than the exchange rate in the long run...
@newaccount8554
11 ай бұрын
Hate to restoke the fires of the blue dress white dress debate, but that bar chart is defo blue and not green! 7:49
@contactjd
11 ай бұрын
Turquoise 😅
@sed1991
11 ай бұрын
Invesco ETF contains only 1.945 stocks while Vanguard contains 3.665 of the 4.294 stocks inside the FTSE All WOLRD Index. This optimisation approach leads to less costs buts also less in terms of diversification and a possible higher tracking error (risk). You need to decide on your own if the 7 bps are worth holding less then 50% of the underlying stocks of the index.
@user-zz2fq6vc1w
10 ай бұрын
Really great point, thank you for highlighting this - something to be aware of for sure
@J-gw5sb
5 ай бұрын
Great video! So when you say you've got VWRL and FTSE global all cap. The all cap is direct with Vanguard and the VWRL fund is via Trading212. Have I understood that correctly? Out of interest, why not have everything through Vanguard?
@ahmadsheikh351
3 ай бұрын
Same question
@Bevan1988
10 ай бұрын
I think the idea of investing in funds that exclude the uk actually makes sense. Its a hedge. If your employment, services and purchases are all dependent on the uk economy. Chuck your money into US or global stocks and then you have hedged against the uk economy doing badly.
@Tom_murray89
8 ай бұрын
It’s very interesting how many people are risk adverse when it comes to stocks and shares investing.
@randomnoctis6361
5 ай бұрын
Wtf is this dude showing all for free?! This is amazing work!! Thanks!
@kirsten121
8 ай бұрын
It's as if you read my mind!! Esp on the point between All World & Global and accumulation and distribution.
@Jay-hy1si
5 ай бұрын
I really want to invest. I thought the idea is to rely on compounding using one fund to really maximise your return?
@peelyo94
11 ай бұрын
I just invest in the life strategy 100 percent, dont know whther its worth changing to another
@mxmus08
11 ай бұрын
Didn’t know about Invesco launching a new global fund. Interesting take overall.
@DamienTalksMoney
11 ай бұрын
Thank you!
@emiliodeltessandoro2980
9 ай бұрын
Thank you for explaining you thought process and providing a few concrete examples, very useful!
@jmc8076
7 ай бұрын
David Webb’s book and videos. Ben Felix has good videos too esp one w/Prof Scott Cederburg.
@1292liam
9 ай бұрын
@9.23 HSBC All World is 0.13% via HL
@MrJamessell30
11 ай бұрын
Having VEVE and VFEM in your portfolio instead of VWRL is cheaper on fees...
@gabrielstevens2679
11 ай бұрын
I’m looking to investment monthly into my trading 212 isa, what percentage of your investment would you designate to each of the funds?
@edmundflett474
8 ай бұрын
You deserve more credit for the top notch string of financier puns at 2:57
@DamienTalksMoney
8 ай бұрын
Thank you!
@user-md6ec7wp4m
11 ай бұрын
Thanks for the heads up! Always good to review and check your investments are competitive. I think the differences between funds, as you mention, within the same category/type is minimal, they tend to have similar performance (they are doing the same thing). Looking for the "perfect" fund/etf etc is just not that feasible and wastes a lot of time. The most important thing for me is to make a decision and execute, so you start/keep investing. I think the 85% rule works well here and is helping me to make decisions and not procrastinate in the spreadsheets.
@davidriley2784
11 ай бұрын
what's the 85% rule?
@LEARjsy
7 ай бұрын
I relate to your comments a lot. Too much time spent reading, researching, analysing trying to 'get it right / not make a mistake', when I should just not try to overcomplicate things. Looking presently at stripping things back - making a sensible decision based on a few good all-round global equity funds and then sitting back and doing nothing other than an occasional review!
@OldGregg79
11 ай бұрын
Nice one Damo, I saw that Invesco FTSE All-World fund pop up a couple of weeks ago, I'll take them low fees! The small unit price is a bonus too for chucking in loose change at the end of each week!
@glennwhitlock1272
11 ай бұрын
Interesting. I especially liked those turquoise dresses.
@DamienTalksMoney
11 ай бұрын
Haha!
@raydaveyrd
8 ай бұрын
do you have a video that walks you through setting up a stocks and share isa, which provider you go with etc? does it matter?
@jakubciekot7761
Ай бұрын
Why would you move your money from Vanguard to Investo (when the fund gets bigger) since you have to pay tax for all that sum?
@rollthetape88
9 ай бұрын
HMRC doesn’t think fractional shares qualify as ISA holdings. how will thic change the practise of using T212 or Freetrade to buy the accumlilation version of an ETF?
@corric80
6 ай бұрын
Why not LGGG? It’s only 0.1% fee.
@JamieHutchinson-h1u
8 ай бұрын
Afternoon Damien, stumbled across this video and you present extremely well! Thank you. Please would you clarify an intriguing 'throw away' comment you made at the end of your video. To paraphrase from 12:03 - 12:08 - 'invest business capital without taking it out of the business.' Very many thanks.
@lIRhYsUKIl
11 ай бұрын
Watching your channel grow has been brilliant, love the editing.
@DamienTalksMoney
11 ай бұрын
Thank you! Glad you enjoy the editing it’s what I spend 80% of my day doing 🤣
@RHTZ2022
11 ай бұрын
Hey Damien, recently came across your channel and love the content. Was wondering about how you manage with regards to having multiple investment platforms. How do you decide which to use for your ISA? I use two and very conflicted in which one to focus my efforts on. Would be interested to hear your approach
@jimjam2783
8 ай бұрын
I watched this video but don’t remember the names of the funds he recommends. Can someone please list the fund names?
@kevinlally7653
11 ай бұрын
GOod (if a long winded) discussion. I'm in the same thinking space as you - frustrated with the UK fee structure vs US, and that my VWRL is no longer top for OCF.
@DamienTalksMoney
11 ай бұрын
Sorry about the long winded! haha... I just can't sit here and not add something to the video i find them boring to make otherwise.
@joshwheeler9732
11 ай бұрын
I'm new to the channel, work in finance, and love hearing different opinions. While I agree with you on the passive v active debate. I don't think this is too prevalent on smaller cap funds. (AIM listed UK stocks.) There is a clear track record of active (multiple funds) being better than passive...However, I always think passive is better than active majority of the time.
@jj4404
11 ай бұрын
FWRA seems to be the USD-denominated version, whereas FWRG is the GBP version.. your vid shows a screencap for FWRA.. need FWRG for UK/GBP investors ?
@Rahel_Rashid
11 ай бұрын
Thank you Damien! Through you, I finally managed to understand a bit from the investment world.
@stevojohn
11 ай бұрын
Any news on a Vanguard app? Love you work... keep it up.
@Rahel_Rashid
11 ай бұрын
Trust me, you don't want to have the app. You will be checking the app frantically every other second. It's against the Boglehead/HODL mentality.
@birilol
11 ай бұрын
Why not VT? fees of 0.07% I don’t think the exchange fees are more expensive than ivesco’s 0,15%
@sopissedoff
8 ай бұрын
Damien the hsbc fund has a fee of 0.13 but gets no mention on this video ,am i missing something about it
@DamienTalksMoney
8 ай бұрын
I use ETF only platforms and i believe that is an Index fund no? I will pin a comment on this.
@mattsennett
11 ай бұрын
Nice one Damo. I have been adding more to VHYL recently but will take a closer look at FWRG myself 👍🏻
@FinancialThing
9 ай бұрын
Great video Damien. Lower fees are always better. The only downside to the Global Tracker is my Fidelity Global tracker has under-performed my Fidelity US tracker by 14% over the last 4 years. They both have very low fees (Global 0.12% and US 0.07%).
@gjcroudace
7 ай бұрын
Love your channel, you give great advice, thanks so much, I really appreciate it.
@DamienTalksMoney
7 ай бұрын
My pleasure! I hope the videos help you with your own research. Have a lovely weekend! Damo
@charonme
Ай бұрын
instead of calculating the hypothetical fees look at the actual (past) tracking differences
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