Thereās a new section in the app when you click on a ETF you have invested in called āCosts and Chargesā underneath the āKey Information Documentā link. Clicking it takes you a page like this https://public.freetrade.io/costs_and_charges/IE0005042456.html
This is incredibly useful and in some cases downright eye opening (Iām looking at you 3i Infrastructure )
Hats off to the team, this is a great feature in the making.
Hopefully, before long, this data will be integrated within the app rather than via a browser because ā ideally ā it would be nice to see this information for my holdings and orders rather than an example.
One other thing Iād point out: some of the data seems incomplete: it would appear that Iām paying nothing to hold SGLN, for example. If only that were true!
That is insane. Iād sooner put Ā£5k in IWDG: with charges of Ā£1,147.94 versus Ā£105 over five years, 3IN would have to so drastically outperform the developed world.
This is a great feature and eye opening! But how come the fees for SGLN say Ā£0 on FT but on justetf say o.25%?
Noob question, but when/how are these fees taken?
This is such a great feature, very slick.
They are taken within the investment, essentially detracted from performance. FTSE100 goes up 10% but the ETF has a charge of 0.2%, you get 9.8% return (numbers made up)
Infant Investors ( @Certi.Curti ) created a video on this
Would this be a similar daily āchargeā embedded in the price (e.g LON:SGLN) that adds up to 0.2% annually? Or is it less frequent?
The fee is taken daily I think, but you would need to check this within each factsheet/information document
This is brilliant!
A) How up-to-date will the data there be?
B) Are there any plans to make a dashboard so itās easier to access from desktop? I know we could just paste in the ISIN in the url, but it would be a good step to making research easier.
A real eye opener!
The MSCI China ETF would have charges of around Ā£200 over 5 years.
Interesting seeing these.
Iād suggest the finki API ā¦
Another eye opener and ābenefitā of putting this data out in the public domain is to raise awareness of the differing methodologies that can be used in order to generate these figures.
Sounds weird? āWe should standardise this calculation so everybody discloses figures using the same rulesā you say? Sounds logical, doesnāt it?
I wonāt bore you with the details but āarrival priceā gathering or āslippageā is a murky process whereby fund managers are forced by the regulators to disclose what the trade actually costs them to execute. If youāre slightly curious and have time on your hands you could Google the Priips rule regarding this and try not to laugh out loud. However a lot of managers are known (I canāt actually prove this in a court of law!) to manipulate these figures to meet there needs. Thier āneedsā are usually to lower the transaction costs to make their fund look more competitive! They can do this by transmitting trades at certain times of a day, out of hours, claiming favourable FX rates etc etcā¦ or the classic ādefault to spreadā methodology that allows them not bother doing any analysis and benchmarking their trading against a provider like AFGs equity average spread figure.
Make no sense? No, it doesnāt to me either.
What does it mean? Well, firstly these figures are a useful guide and the best basis for comparison we have to hand. But be aware they are often tweaked
Look at IE00BCRY6441. It claims a negative transaction charge. So all itās trade activities actually generated a profit for the fund? This is a quirk of the trade of the āslippageā rules.
Even the FCA voiced issues with these rules.
Then the AIC came out and voiced concerns too.
You can get the Freetrade costs and charges data via the API here ā¦
Using the ftOCF, ftTRANS or ftOTHER function call.
For example
https://finki.io/callAPI.php?isin=GB0003052338&function=ftOCF
Makes it easy to pull the costs into gSheets or Excel
Enjoy
Love this feature!
Would be great to see if the API link could pull user account type (general or ISA etc) to make the example more relevant to the end user.
The costs it displays are regardless of wrapper. So I donāt really understand. If youāre in a Freetrade ISA and youāre paying for it ā¦ then add your Ā£3 monthly cost into the equationā¦ Or am I missing the point of your GIA/ISA question?
I feel like SDRT/Stamp Duty is pretty relevantā¦ Iāll add that inā¦
Would be really helpful if this included some sort of scale or graph as a comparison to the costs and charges for other ETFās and Trusts on the freetrade platform.
Why some ISINs lists transaction costs as negative value?