How to Start Investing in Index Funds UK
The financial industry spent decades pretending investing was complicated. The internet quietly demolished that. Three boxes to tick and you're in. The shortlist to start with.
Best global index funds for UK investors
| Fund | Type | Index | OCF |
|---|---|---|---|
| Amundi Prime All Country World (PACW) | ETF | Solactive GBS Global | 0.07% |
| HSBC FTSE All-World Index Fund | OEIC | FTSE All-World | 0.13% |
| Vanguard FTSE All-World (VWRP) | ETF | FTSE All-World | 0.22% |
| Vanguard FTSE Global All Cap | OEIC | FTSE Global All Cap | 0.23% |
Pick the cheapest your platform offers. The difference between any two is small over decades.
Key takeaways
Index funds track a market index like the FTSE 100 or MSCI World, giving you exposure to hundreds or thousands of companies in a single purchase.
A global index fund inside a Stocks and Shares ISA is the simplest and most tax-efficient way to start building wealth in the UK.
The cheapest global index funds charge as little as 0.07% per year. Over 30 years, the difference between a cheap and expensive fund can be six figures.
You can start with as little as a few pounds a month. The habit of regular investing matters far more than the starting amount.