Vanguard slashes its fees…!
On top of the recent fee reductions by both the Standard Life and Nucleus Wrap Accounts Vanguard has weighed in and slashed its fund management fee by up to 50%!
As of 1 September both the FTSE UK Equity Index tracker* and the Global Bond Index fund will charge 0.08% and 0.15% p.a. respectively.
Vanguard has been able to do this as it is a ‘mutual’ fund management group; i.e. with no shareholders, and with an increasing presence in Europe, it has been able pass on its success by reducing fees for its investors.
You all of course know that the first rule of investing is to diversify, diversify, diversify. Keeping your investment costs to a minimum is not far behind that though!
*According to FE Analytics Vanguard’s FTSE UK Equity Index tracker was the best performing FTSE UK tracker over the three years to 25 June 2014 (source: money marketing 26.06.14).
Note: past performance is not a reliable indicator of future results.