@martinjbell HMRC does not allow you to transfer investments into an ISA directly. They must be sold outside the ISA and then repurchased within. Otherwise you would be escaping the capital gains tax that might be due.
People do need in specie transfer so that they can move investments from other brokers to their Trading 212 Invest account without selling and triggering a capital gains tax event, or having the cost of paying the spread between sell and buy prices, or being out of the market for a few days, and also to have the peace of mind that the direction of transfer could be similarly reversed. Almost all brokers offer this facility, either free or at a small cost, and I expect Trading 212 want to do so too.
As to cost of making a transfer, the FCA have an ongoing consultation about banning exit fees, as this is viewed as anti-competitive and against the interests of clients. In anticipation of further development, Interactive Investor and Hargreaves Lansdown both recently changed to free transfer, and AJ Bell dropped their fee from Ā£25 to Ā£9.95 per position. Degiro charge 10 euros per position.
My guess is that the transfer process is difficult to fully automate and this may be slowing down Trading 212ās implementation. When I have done transfers between AJ Bell and Interactive Investor there has usually been a chain of half a dozen emails. Human intervention is needed when either the client or other broker makes a mistake at some point. Trading 212 will need a team of people who will work on transfers full time. Hopefully it will be worth it for the additional assets under management that it will obtain for Trading 212.
Hey please can @Tony.V answer this question, as I have a colleague who was on the practice account and now Iāve convinced her to open a real ISA account now. But unsure how this will affect her?
How come I donāt have access to the referral link? My account was registered and funded before the 26th Jan but I donāt have the option to send a link?
Thanks Richard, very detailed! Shouldāve been a bit clearer on my end; Iām aware the topic was RE in-specie transfersā¦I was more intending to Bed and Isa my investments come the new tax year.
Hopefully this will be rolled out along with the in-specie transfer feature. Iām aware that I could just liquidate positions to cash, but similarly, Iām assuming I would be out of the market for a couple of days while the money transferred from the invest side to the ISA side. I may be wrong on this - happy to be corrected as this solves my issue.
if your funds are in the Invest account, then itās as simple as using the manage funds option on the platform to send those funds into the ISA. this all happens almost instantly so the only worry to have would be reopening a position for as close a price as you closed it as is possible.
the waiting across days is a concern if your invest side of things happens outside of T212, so you would then indeed have to wait on the funds to finish transferring.
Are you sure that there is no need for sales to settle on the Invest side (two days) before the funds can be moved to ISA and reinvested? I have not tried this so am not sure.
I have only done it once myself with a smaller amount, but the money moved from being in my Invest account to my ISA less than a minute after choosing to move it across. Itās not being withdrawn so doesnāt need to leave the account, arrive in a bank and then be re-deposited.
I canāt tell for sure how the sales settling may impact the transfer as I have very little experience with it, but once I sold the share, I donāt remember seeing any restrictions on the cash from my end.
I have an account with T212 and now my wife wants to open an account too so that she can āpopulateā her ISA before the tax year ends. Sheās worried that T212 arenāt handling this situation well (so am I) and sheāll likely open an account with ii or HL if thereās no positive feedback. I find it peculiar that 212 have this forum but donāt interact with it in a constructive or business positive manner.
@centonze Many people submitted their rating while being affected by some recent events, namely the GME saga. In a matter of hours, this effectively eliminated the reviews of thousands of happy users given over the years.
My honest opinion: a few orchestrated Reddit groups urged the angry mass to put negative ratings (which happened undeservedly to other companies too), taking advantage of the peopleās incomprehension by spreading misinformation about market manipulation. In reality: hedge funds and retail-focussed brokerages are two separate universes.
Fun fact: Many of the speakers of those groups are not even our clients. Following their instructions, many people downloaded the app and gave it a poor rating without ever having used it.
@Fandango if youāre referring to when weāll resume the new account registration - I have shared updates in the thread above. Yet, if you have some other doubts - feel free to share them, and Iāll be happy to assist.
We were lead to believe this is a battle between the little guy and the billionairesā hedge funds. In reality it turns out it was a battle between the hedge funds, and one of the sides used us retail investors to fuel the fire. And most of us got in when GME was trading above $300, lost money, and our anger was directed towards our brokers.
Hope more people would do their DD, use their heads and not let other peopleās opinions/propaganda drive their actions.
I already have an ISA but a number of the shares Iāve been researching are only available in the trading account.
Could the servers not handle existing account holders opening up the adjacent account!?
Surely not, youāre telling me, that billion dollar hedge funds, that spend millions a year on staff and proprietary technology, in fact do not use free trading platforms to place their trades??? Personally I find such a suggestion crazy, the explanation from people on reddit sounds much more believable
