Fees for Investing in ETF's

[Sodium]

Hi,

I'm Irish and living in the United Arab Emirates.

I have some money that I am looking to invest and was looking at the option of investing in index fund risk rated ETF's.

I have approached a Financial Adviser who has quoted me an annual fee of 1.75% (1.25% Financial Adviser admin fee + 0.50% Black Rock Managed Index fee).

Does this seem reasonable?

Thank you in advance for any feedback.

 

[Protocol]

There are ETFs on DeGiro available with no fees.

 

[Zenith63]

I have approached a Financial Adviser who have quoted me an annual fee of 1.75% (1.25% Financial Adviser admin fee + 0.50% Black Rock Managed Index fee).

Depends if you want advice or not. If you know the ETFs you want to purchase, then you just need an execution-only service. Online you could use the likes of DeGiro. Another option is a traditional stock broker, like Campbell O'Connor, who you would send your funds to and they'll buy the ETFs and lodge in your CREST account. The traditional stock broker fee might be something like 1.5% but only at initial purchase and eventual sale, not every year!

If you want absolute hands off and no thought required, a financial adviser might be a good option, 1.25% may be a little expensive mind. If you want to do a bit of trading or might need the money in 5 years, probably as handy to use the likes of DeGiro. If you have larger sums of money or intend to buy-and-hold long-term I'd be more inclined towards a traditional stockbroker with a CREST account.