The online service provides an “easy, straightforward way to invest” in the LifeStrategy, index, active and Target Retirement funds, as well as the ETF range, through an ISA, Junior ISA or general account, the company stated.
It will carry a 0.15% annual charge on the first £250,000 of investments but it is free for further investments above £250,000. The maximum account fee payable is just £375 each year. Investors can invest with a minimum lump sum amount of £500 and / or a minimum monthly savings contribution of £100.
Sean Hagerty, head of Vanguard’s European business, said: “Vanguard’s new online investment service is designed to help simplify and lower the cost of investing in the UK.
"Only recently, the FCA’s interim asset management market study report stressed asset managers' obligation to act in the best interests of investors, including requiring the industry to show how it delivers value for money.
"It also highlighted that fees have not decreased enough based on the economies of scale achieved by the industry. Vanguard agrees with these conclusions.”
“This is why we are launching our new service – we want to offer investors the value for money they deserve. We aim to offer investors the highest value investment products and services available with an unwavering commitment to lowering the cost of investing in the UK.”
Ryan Barrows, head of personal investing for Vanguard in Europe, said: “Investing in Vanguard funds through the UK's many fund platforms is a great way to lower the cost of investing. But we’re delighted to say that you can now access Vanguard funds directly from us.
“You'll be able to catch up on our latest investment thinking and read educational material, as well as deal on your accounts, view your account balance and monitor the performance of your own portfolio. We'll display all this information in our usual straightforward style and deliver it directly to your PC, tablet or smartphone.
“We'll be retiring the site you're on now and replacing it with the new one over the next few weeks and we'll be adding further options, including a low-cost Vanguard self-invested personal pension (SIPP), in due course."