Picking the right plan for pension is a huge deal—it’s your destiny we’re speak me about! Two massive names in the UK SIPP (Self-Invested Personal Pension) market are Vanguard and Hargreaves Lansdown (HL). Both have their strengths, but which one suits you first-rate? Let’s wreck it down in plain English, similar to we’re chatting over a cuppa.
1. Quick Intro: What’s Vanguard and HL?
Vanguard is like the price range-pleasant supermarket of making an investment—easy, low-fee, and fantastic if you want a "set and overlook" approach.They’re famous for
index funds that track the market without fancy tricks.
Hargreaves Lansdown (HL), on the other hand, is more like a luxury department store. Tons of choices, expert research, and tools—but you pay extra for the privilege. If you love picking stocks or want more control, HL might be your jam.
2. The Big Deal: Fees & Costs
Let’s be real—fees eat into your returns, so this matters a lot.
Vanguard charges 0.15% platform fee (max £375/year) plus low fund fees (around 0.1%-0.2%). Super cheap for small to medium pots.
HL charges 0.45% on the first £250K (then drops to 0.25%, then 0.1%). They also charge £11.95 per trade for shares/ETFs, which adds up if you trade often.
Winner for low costs? Vanguard, hands down.
3. Investment Choices: Who Offers More?
Vanguard = Limited but solid. Mostly their own index funds (great for passive investors).
HL = Huge variety—thousands of funds, stocks, ETFs, trusts, even bonds. Perfect if you like mixing things up.
Winner for choice? HL, no contest.
4. Ease of Use: Which is Simpler?
Vanguard’s platform is clean, basic, and easy—ideal for beginners.
HL’s website is packed with tools, charts, and research—awesome for pros, but a bit much if you’re just starting.
Best for beginners? Vanguard.
Best for active traders? HL.
5. Customer Support: Who Helps You Better?
Vanguard has decent online/phone support, but it’s pretty no-frills.
HL offers phone, live chat, and even in-person help if you’re near Bristol. They also throw in free guides and webinars.
Winner for support? HL.
6. Which Performs Better?
Here’s the truth—neither guarantees better returns. Performance depends on your picks, not the platform.
Vanguard’s low fees mean you have still good money in your pocket over time.
HL’s wider options let you chase bigger gains (or bigger losses if you’re not careful).
Best for steady growth? Vanguard.
Best for active strategies? HL.
7. Which SIPP Should You Pick?
Go with Vanguard if:
You want the cheapest option.
You prefer simple, hands-off investing.
You’re happy with index funds.
Go with HL if:
You want tons of investment choices.
You don’t mind paying extra for research and tools.
You’re confident picking stocks/funds yourself.
Wrapping It Up
At the end of the day, the "best" SIPP depends on your style and budget.
- Vanguard = Low-cost, easy, great for passive investors.
- HL = Feature-packed, flexible, higher for fingers-on buyers.