Hey, hope you all had a lovely holiday season?
I’m looking for some clarification around ETF ‘costs and charges’. I will use the two S&p500 etf’s for comparison below:
Vanguard s&p500 (£VUSA) costs and charges:
Ongoing charges: 0.0701%
Transaction costs: 0.0105%
I shares s&p 500 (£IUSA) costs and charges:
Ongoing charges: 0.0700%
Transaction costs: -0.0006%
Firstly, how do these charges work? When are they taken from your account and how are they taken?
Secondly, with I shares having a minus transactional cost does that mean you would get money into your ETF from them or is it something else?
Sorry if this is a odd question but it’s something I can’t seem to find an answer for and would love some clarification.