The first thing you want to do when picking index funds is to minimise fees. Look for the management fees (“expense ratios”) to be low: around 0.2% and you’ll be fine. Most of the index funds at Vanguard, Hargreaves Lansdown and Fidelity offer excellent value. Remember: expense ratios are one of the few things you can control, and higher fees cost you dearly – and they just put money in the City’s pocket.
