Vanguard has launched a targeted support service for first-time investors through its online UK Personal Investor platform.
The service provides new clients with straightforward guidance and investment recommendations at no additional cost. Clients are guided through a few initial questions to determine their investment goal, time horizon and their attitude to risk allowing the service to identify the most suitable account type for them, such as an ISA for general investing or a SIPP for those focused on retirement.
Clients are then provided with a clear investment suggestion aligned to their goal. For ISA investors, this includes a LifeStrategy fund, while those saving for retirement will be guided towards a Target Retirement fund.
Liz Waldron, head of client experience and product, explained that many savers lack confidence when it comes to investing with around 70% saying they don’t feel confident in their investment knowledge and 58% saying they feel unsure about how to get started.
“For many, investing feels complex, time-consuming or simply too risky, and we see those concerns play out in practice, with one in five people dropping out of our ISA journey when asked to choose an investment.
“Our targeted support service is designed to remove some of those barriers by helping people take the first step with confidence. It provides clear, simple investment suggestions based on a person’s circumstances.
“To help people better understand concepts such as long-term investing and the power of compounding, we’ve also deliberately incorporated ‘learning moments’ throughout the journey. We believe confidence comes from understanding, and we want people to leave the experience feeling not only supported in their decision, but more informed and empowered about investing for their future.”
