I am looking to start investing in funds, and was wondering if anyone could share their experiences please.
I am hoping to buy my first house within 12 months in sha Allah, so wouldn’t want to open a LISA, as my understanding is that you need to have held it for at least a year to access for a first house purchase without the penalty. Is that correct?
I don’t want to invest too much to begin with as I want as much for my deposit as possible, so maybe £1-2k, and I plan to invest £100 or so per month. I am looking for long term growth, and would hope to not touch it for 15 years plus, as I’m only in my early 30s.
I have seen a few different funds I am interested in across the various platforms.
The one I’m most interested in is the HSBC Islamic Global Equity Index, which I could invest in with HL or AJ Bell. There’s also the Aberdeen Islamic Global Equity Fund with AJ Bell only. I am looking at funds for the diversification, so do you think I would be better off going with AJ Bell to have two funds, or do you think I would have more long term growth with just the HSBC?
As I’m planning to do monthly deposits, I am a little concerned at the £1.50 fee with AJ Bell, as that will add up over time and reduce the buying power of my £100 each month, or is it worth it to have the extra diversification?
The other option I am considering is going with Wahed Invest. Depending on how aggressive I am with their portfolios, it will also invest in EFTs and Sukuk funds, as well as the HSBC fund. The EFTs are iShares MCSI World and also Emerging Markets. Again, would you say having the diversity of the EFTs and Sukuks make this more attractive?
I believe those EFTs are also available on the other platforms, but because I think they charge nearly £10 per deal, it wouldn’t be worthwhile for me to invest £100 a month.
Any comments/advice/experiences you’ve had with these funds or platforms would be greatly appreciated.